Investments of INR 2.04 billion is anticipated for the project which is likely to commission by FY 15
JSW Steel on 1st October, 2013 announced its plans of setting up a Second Steel Processing Center in Pune, well known as Automobile hub of India. It is in to a Joint Venture (JV) with Marubeni Itochu Steel Inc (MISI) Tokyo, for the presently planned project.
The first phase of the project will commence from FY 15 with an installed capacity of around 0.18 MnT annually, further boosted to around 0.36 MnT annually by the second phase. The estimated capital investment for the project is around INR 2.04 billion, of which 50% will be funded through equities and the rest half through debt elements.
“The rapid growth of the Indian steel industry offers tremendous opportunity for supply of high end processed steel. We can leverage the global sales network of expertise from Service Center Operations, MISI and the World Class Technology Products manufactured by JSW,” says, Mr Seshagiri Rao, Joint Managing Director, JSW Steel & Group Chief Financial Officer.
The planned project is all set to provide flat steel products like hot rolled, cold rolled and coated products to the customers. The joint venture company will also provide just in time solutions to the automobile sector along with other facilities such as white goods, constructions and other value added segments.
JSW Steel had formed a JV with Marubeni Itochu Steel Inc in 2011 for setting up a Steel Processing center near Palval (Haryana), which was named as “JSW MI Steel Service Center Pvt Ltd”.
JSW Steel is a company formed under JSW Group, diversified into various sectors such as Steel, Infrastructure, Cement and IT. JSW Steel is one of India’s leading steel integrated companies with an installed capacity of around 14.3 MnT pa.