JSW Steel at new high

JSW Steel, which had closed yesterday at Rs.467.85, opened at Rs.471.65 and went on to hit a new high at Rs.495.70. Its 10% UC for the day is at Rs.514.60.

The company announced today morning that Jit has commenced production of Hot Rolled Plates from the new 5 MTPA Hot Strip Mill facility at its Dolvi Works. The Dolvi Works has an existing capacity of 5 MTPA.

Last week, the company also announced that it had finally closed out the acquisition of Bhushan Power and Steel for an amount of Rs 19,350 crore, more than two years after lenders had approved its resolution plan in late 2018.

With this, JSW Steel becomes India’s top steelmaker as it adds an annual steelmaking capacity of three million tonne per annum (mtpa) in Jharsguda, Odisha. This would take its total capacity to 22 mtpa. Also its  5 mtpa expansion project is on track to start by Q1FY22.

All this could not have been timed better as global steel prices are ruling firm and are at ten-year highs in China and Europe.