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JSW Steel

JSW Steel Limited
Company typePublic
ISININE019A01038
IndustrySteel
Founded1982
FounderSajjan Jindal
(chairman)
HeadquartersMumbai, Maharashtra, India
Area served
Worldwide
Key people
Sheshagiri Rao MVS, Jayant Acharya
ProductsSteel, flat steel products, long steel products, wire products, plates
RevenueIncrease₹176,010 crore (US$21 billion) (2024)[1]
Increase₹13,380 crore (US$1.6 billion) (2024)[1]
Increase₹8,973 crore (US$1.1 billion) (2024)[1]
Total assetsIncrease₹228,198 crore (US$27 billion) (2024)[1]
Total equityIncrease₹79,776 crore (US$9.6 billion) (2024)[1]
Number of employees
38,446 (2024) (Including 25,145 contractual employees)[1]
ParentJSW Group
SubsidiariesAmba River Coke
Asian Colour Coated Ispat Limited
JSW Bhushan Power and Steel Ltd.
Neotrex Steel Private Limited
Hasuad Steel
JSW Bengal Steel
JSW Energy (Bengal)
JSW Industrial Gases
JSW Jharkhand Steel
JSW Natural Resources Bengal
JSW Utkal Steel
Welspun Maxsteel Ltd
JSW MI
Rating
Websitewww.jswsteel.in

JSW Steel Limited is an Indian multinational steel producer based in Mumbai and is a flagship company of the JSW Group.[4] After the merger of Bhushan Power & Steel, Ispat Steel and Jindal Vijayanagar Steel Limited, JSW Steel became India's second largest private sector steel company.[5]

History

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JSW Steel's history can be traced back to 1982, when the Jindal Group acquired Piramal Steel Limited, which operated a mini steel mill at Tarapur in Maharashtra and renamed it as Jindal Iron and Steel Company (JISCO).[6] Soon after the acquisition the group set up its first steel plant in 1982 at Vasind, near Mumbai.[7]

Later, in 1994, Jindal Vijayanagar Steel Limited (JVSL) was set up with its plant located at Toranagallu in the Bellary-Hospet area in the State of Karnataka, the heart of the iron ore belt and spread over 10,000 acres (40 km2) of land. It is well connected to both the Mormugao Port and Chennai Port and is 340 kilometres from Bangalore. It is said to be the sixth largest steel plant in the world.[6]

In the year 2005, JISCO and JVSL merged to form JSW Steel Limited.[8] It also set up a plant at Salem with an annual capacity of 1 million tonnes.[4]

Operations

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As of July 2023, the installed with a production capacity of 29.7 MTPA in India and the United States.[9] The company is aiming to boost the total steel production capacity to 38.5 MTPA by the financial year 2025.[10]

As of April 2023, nearly 98% of JSW Steel's revenue comes from steel and related products — long rolled products (18%), galvanised coils/sheets (15%), CR coils/sheets (9%), plates/pipes (5%), other miscellaneous steel products (5%), and iron ore (2%), in that order. Overall, 70% of revenue is derived from India, and 30% is from overseas.[11] The company historical emphasis has primarily been on flat products, stemming from its origins in a cold rolling mill. As part of its corporate strategy, the company typically directs half of its flat products to downstream facilities for additional value-enhancing processes like galvanizing, coating, or tinning.[12]

Carbon footprint

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JSW Steel reported Total CO2e emissions (Direct + Indirect) for the twelve months ending 31 March 2021 at 37,523.07 Kt (-2,998 /-8.6% y-o-y).[13]

JSW Steel's annual Total CO2e emissions (Direct + Indirect) (in kilotonnes)[13]
Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021
32,101 38,496 42,153 45,848 40,522 37,523

JSW Steel plans to utilize energy from a forthcoming 3,800-tonne hydrogen plant at its Vijayanagar facility, aiming to provide green steel at a premium price within the next 18–24 months. The company has established an agreement with its affiliate, JSW Energy, to procure green hydrogen and green oxygen for the production of sustainable steel.[14][15] Additionally, the company will earn carbon credits based on the amount of conventional thermal power that is substituted with green energy.[16] By 2030, the company plans to set up a green steel plant to comply with the European Union’s Carbon Border Adjustment Mechanism[17] and gradually reduce it use of blast furnaces throughout its value chain.[18]

Plants

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Merger and acquisitions

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In 2007, JSW Steel formed a joint venture for a steel plant in Georgia.[30] Any by 2020, it sold of 39 percent stake which it held in JV to Georgian Steel Group Holdings Limited.[31]

In 2009, Japan's JFE Steel, entered into a strategic partnership with JSW Steel to produce automotive steel products.[32]

In 2014, it acquired Welspun Maxsteel Limited in a deal valued at around INR 1,000 Crores.[33][34]

In 2018, JSW Steel Italy acquired 100% shares of Aferpi S.p.A, Piombino Logistics, and 69.27% of GSI Lucchini S.p.A's share capital from Cevitaly S.r.l for €55 million.[35]

In 2019, JSW Steel acquired Bhushan Power & Steel. This resulted in the absorption of an integrated steel plant in Rengali, Sambalpur, with a capacity of 2.5 million tonnes annually.[36]

in 2020, JSW Ispat Steel was acquired by JSW Steel, 20 months after the latter acquired a controlling stake in Monnet Ispat Industries.[37]

In April 2021, the company acquired Plate and Coil Mill Division (PCMD) of Welspun Corp for a sum of ₹848.5 cr.[38][39]

In October 2021, JSW Steel acquired 51% stake in Neotrex Steel from JSW Group promoters and entered into an under-construction project to manufacture Low Relaxation Prestressed Concrete (LRPC).[40]

In October 2022, JSW Steel initiated a process to acquire Central-India based National Steel & Agro (NSAIL) through resolution plan submitted under the corporate insolvency resolution process. The company makes flat steel products such as cold-rolled coil, galvanised corrugated sheets, colour coil and pre-painted profile sheets and owes lenders over Rs 1,600 crore.[41][42] In May 2023, the company got the final nod from National Company Law Tribunal for the acquisition.[43]

In January 2023, JSW Steel entered into an agreement via one of its subsidiary to acquire 31 percent stake in startup Ayena Innovation which deals in home furnishings and interior decoration sector.[44][45]

In May 2023, JSW Steel reached an in-principle agreement with JFE Steel to establish a 50:50 joint venture to manufacture cold-rolled grain-oriented (CRGO) electrical steel in India.[46][47]

In March 2024, JSW Steel Italy SRL inked an MoU with the Government of Italy to invest €140 million in restarting production at the Piombino plant.[48] JSW Steel's fate in Italy hinged largely on contracts from Italian railway authorities. Faced with this uncertainty and rising costs due to geopolitical issues like the Russo-Ukrainian War, the company explored disinvestment.[49] However, this new agreement aims to double rail-making capacity to 600,000 tonnes per year in Piombino, enhancing local employment and reducing imports. Investments will modernize the rail mill with a tandem mill, head hardening facility, and longer rails (from 108 to 120 meters).[48]

Mining acquisitions

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JSW Steel currently possesses a total of 13 iron ore mines, with nine located in Karnataka and four in Odisha. Additionally, they have obtained three coking coal mines. During the fiscal year 2022, the company fulfilled 43% of its iron ore needs from its own mines.[50]

In May 2023, JSW Steel bagged iron ore blocks in the Surjagarh area of Maoist-affected Gadchiroli district in Maharashtra after bidding for a composite license through government auctions.[51]

As of 2023, discussions are underway between the company and BHP regarding the potential acquisition of the latter's Daunia and Faunus coking coal mines in Queensland. These mines possess a capacity of 20 million metric tons per annum (MTPA).[52] In the past, JSW Steel has additionally acquired mining assets in the United States,[53] the Republic of Chile,[54] and Mozambique.[55]

Based on the latest information as of August 2023, JSW Steel is actively seeking partners to put forth a proposal to acquire a 75% share in Teck Resources' coal mining assets.[56] This move could potentially compete with a substantial $8 billion bid made by the commodities giant Glencore.[57][58]

In 2024, media reports indicate that JSW Steel is vying against global steel giant Nippon Steel and other contenders to secure a 20% stake in Australia's Blackwater coal mine from Whitehaven Coal. Last October, Whitehaven acquired Blackwater and Daunia coal mines from BHP for $3.2 billion.[59][60]

Awards and recognitions

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In media

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Documentary

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Further reading

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References

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  1. ^ a b c d e f "JSW Steel Ltd. Financial Statements" (PDF). bseindia.com.
  2. ^ Anand, Saurav (13 December 2022). "JSW Steel's CDP Rating upgraded to A". Mint.
  3. ^ "Fitch Ratings JSW Steel Limited". Fitch Ratings.
  4. ^ a b Weng, Yuqing; Dong, Han; Gan, Yong (14 April 2011). Advanced Steels: The Recent Scenario in Steel Science and Technology. Springer Science & Business Media. p. 31. ISBN 978-3-642-17665-4.
  5. ^ Divekar, Aditi (5 June 2015). "JSW Steel is now the largest steel maker in India". www.business-standard.com. Retrieved 24 September 2022.
  6. ^ a b S, Sruthi. S., Sruthi; Murthy, Y. Suryanarayana; Santoki, Ashwinkumar; Shaik, Salauddeen; V., Priyadarshini; G.R., Sachindra; Singh, Dhirendra Bahadur; Gupta, Ravi Kumar; Dimple; Birla, Surbhi (eds.). Emerging Trends in Commerce & Management. Vol. 2. Redshine Publication. p. 321. ISBN 978-93-93239-35-8.
  7. ^ Parikh, Hiral; Desai, Devesh (2022). "A STUDY ON MAJOR STEEL COMPANIES OF INDIA". Towards Excellence. 14 (Special Issue 1). ISSN 0974-035X – via UGC-Human Resource Development Centre, Gujarat University.
  8. ^ "HC nod for Jisco & JVSL merger". The Economic Times. Retrieved 24 September 2022.
  9. ^ Krishna, Tanya (6 July 2023). "JSW Steel posts 11% on-year growth in steel production during Q1FY24". Financialexpress. Retrieved 19 July 2023.
  10. ^ Cornish, Chloe (16 April 2023). "Steelmaker JSW 'bullish' on grabbing share of India's infrastructure boom". Financial Times. Retrieved 1 May 2023.
  11. ^ Ghosh, Ashish (14 March 2023). "Equity Research Report: JSW Steel". Sharescart.com. Retrieved 1 May 2023.
  12. ^ Saha, Sambit (19 August 2023). "JSW Steel eyes higher share of long steel products in company's portfolio". Telegraph India. Retrieved 19 August 2023.
  13. ^ a b LTD, Exerica. "ESG Environmental metrics | Public companies". Exerica. Retrieved 12 June 2023.
  14. ^ P. Iyengar, Suresh (25 July 2023). "JSW Steel to source hydrogen power in 18-24 months". www.thehindubusinessline.com. Retrieved 19 August 2023.
  15. ^ Law, Abhishek (22 August 2023). "Steel Ministry to review CBAM preparedness of India's steel mills". BusinessLine. Retrieved 28 October 2023.
  16. ^ "From dirty steel to green biz, how JSW Group is reinventing itself". The Economic Times. 25 April 2023. ISSN 0013-0389. Retrieved 19 August 2023.
  17. ^ Mishra, Naman Suri, Mihir (24 October 2023). "JSW readies for CBAM era with 4 mt green steel unit". mint. Retrieved 28 October 2023.{{cite web}}: CS1 maint: multiple names: authors list (link)
  18. ^ Doshi, Menaka (29 December 2022). "JSW Steel Warns Europe Carbon Tariff Will Hurt Asia Firms". Bloomberg.com. Retrieved 28 October 2023.
  19. ^ Ahmad, Amreen (27 June 2018). "JSW Steel to invest Rs 75 bn in Karnataka to expand Vijayanagar facility". Business Standard. Retrieved 22 November 2023.
  20. ^ Iyengar, Suresh P. (7 January 2022). "JSW Steel to invest ₹15,000 cr in expanding Vijayanagar capacity by 5 mtpa". BusinessLine. Retrieved 22 November 2023.
  21. ^ a b Bharati, Sanghamitra; Basavaraja, V. M.; Jagadeesha, R. J.; Jagteri, K.; Sah, R.; Prasad, G.; Behl, T.; Manjini, S. (14 September 2019). "From waste to wealth: recycling the secondary resource from steel ladle as a flux in Si-killed steelmaking process". Ironmaking & Steelmaking. 46 (8): 794–799. doi:10.1080/03019233.2018.1432251. ISSN 0301-9233. S2CID 139537624.
  22. ^ Varanasi, Suguna Soumya; Venu Madhava Rao, M.; Santanu, Dey; Alli, Sankar Reddy; Seshu Kumar, D. S. V.; Tangudu, Anil Kumar; Gollapalli, Veerababu; Pathak, Ranjan Kumar; Santhamma, C. S. (14 September 2022). "Effect of recycling ladle furnace slag as flux on steel desulphurization during secondary steel making". Ironmaking & Steelmaking. 49 (8): 813–820. doi:10.1080/03019233.2022.2060459. ISSN 0301-9233. S2CID 250655311.
  23. ^ "JSW Steel starts production at Dolvi plant in Maharashtra". www.constructionworld.in. Retrieved 22 November 2023.
  24. ^ Datta, Kausik (15 February 2011). "Sajjan Jindal intends to script turnaround story of Ispat Industries". The Economic Times. ISSN 0013-0389. Retrieved 22 November 2023.
  25. ^ Correspondent, Special (10 June 2022). "JSW Group brings Dolvi Works under CISF cover". The Hindu. ISSN 0971-751X. Retrieved 28 January 2024. {{cite news}}: |last= has generic name (help)
  26. ^ a b "NCLT approves JSW Steel's ₹19,700 crore bid for Bhushan Power & Steel". mint. 5 September 2019. Retrieved 22 November 2023.
  27. ^ Iyengar, Suresh P. (5 March 2021). "JSW's conditional acquisition plan gets the nod of Bhushan Power and Steel lenders". BusinessLine. Retrieved 22 November 2023.
  28. ^ Sanjai, Ruchira Singh, P R. (18 August 2014). "JSW Steel to acquire Welspun Maxsteel for Rs1,000 crore". mint. Retrieved 22 November 2023.{{cite web}}: CS1 maint: multiple names: authors list (link)
  29. ^ "JSW Steel completes merger of JSW Ispat". The Economic Times. 3 June 2013. ISSN 0013-0389. Retrieved 22 November 2023.
  30. ^ "JSW Steel to set up Rs 165 cr JV in Georgia". The Economic Times. Retrieved 24 September 2022.
  31. ^ "JSW Steel arm completes sale of 39% stake in Georgian JV firm". The Economic Times. Retrieved 24 September 2022.
  32. ^ "JSW Steel, Japan's JFE Steel tie up to make car steel in India". The Economic Times. Retrieved 24 September 2022.
  33. ^ "JSW Steel to acquire Welspun Maxsteel Ltd in Rs 1,000-crore deal". The Economic Times. Retrieved 24 September 2022.
  34. ^ "JSW Steel completes acquisition of Welspun's steel business". www.thehindubusinessline.com. 24 July 2021. Retrieved 24 September 2022.
  35. ^ Gaur, Vatsala (18 May 2018). "JSW buys Italy's Aferpi". The Economic Times. ISSN 0013-0389. Retrieved 1 March 2024.
  36. ^ Dhanjal, Swaraj Singh (26 March 2021). "JSW acquires Bhushan Power & Steel; creditors get Rs19,350 crore". mint. Retrieved 31 October 2022.
  37. ^ "Ispat merges with JSW Steel". The Business Standard. 2 September 2012. Retrieved 24 September 2022.
  38. ^ "JSW Steel completes acquisition of Welspun's plates and coil mill business". The Economic Times. Retrieved 31 October 2022.
  39. ^ "JSW Steel completes acquisition of Welspun's steel business". www.thehindubusinessline.com. 24 July 2021. Retrieved 31 October 2022.
  40. ^ "JSW Steel acquires Neotrex Steel". www.thehindubusinessline.com. 2 October 2021. Retrieved 31 October 2022.
  41. ^ Reporter, B. S. (7 October 2022). "JSW Steel Coated Products gets LoI for National Steel and Agro Industries". www.business-standard.com. Retrieved 24 February 2023.
  42. ^ Mehta, Sangita (8 October 2022). "JSW Steel entity to buy National Steel & Agro". The Economic Times. ISSN 0013-0389. Retrieved 24 February 2023.
  43. ^ "JSW Steel to acquire National Steel & Agro Industries". www.thehindubusinessline.com. 19 May 2023. Retrieved 20 May 2023.
  44. ^ "JSW Steel arm enters into deal to buy 31 pc stake in startup Ayena". The Economic Times. 24 January 2023. ISSN 0013-0389. Retrieved 24 February 2023.
  45. ^ Bureau, BL Mumbai (25 January 2023). "JSW Steel arm buys stake in home furnishing start-up". www.thehindubusinessline.com. Retrieved 24 February 2023. {{cite web}}: |last= has generic name (help)
  46. ^ Pillay, Amritha (22 May 2023). "JSW Steel, JFE Steel to set up electrical steel manufacturing JV in India". Moneycontrol. Retrieved 12 June 2023.
  47. ^ "JSW Steel, Japan's JFE Steel ink agreement to manufacture electrical steel in India". The Economic Times. 22 May 2023. ISSN 0013-0389. Retrieved 12 June 2023.
  48. ^ a b Bureau, BL Mumbai (1 March 2024). "JSW Steel Italy to restart production at Piombino". BusinessLine. Retrieved 1 March 2024. {{cite web}}: |last= has generic name (help)
  49. ^ "Rail orders critical for survival of JSW Steel's Italian biz: Company exec". Business Standard. 5 June 2022. Retrieved 2 March 2024.
  50. ^ John, Nevin (7 April 2023). "JSW Group: Life Beyond Steel". www.fortuneindia.com. Retrieved 21 May 2023.
  51. ^ Arya, Shishir (2 June 2023). "JSW Steel, 4 others bag iron ore block in G'chiroli". The Times of India. ISSN 0971-8257. Retrieved 12 June 2023.
  52. ^ Barman, Arijit (22 May 2023). "JSW eyes coal mines of Australia's BHP Group in potential $1.5-2 billion deal". The Economic Times. ISSN 0013-0389. Retrieved 12 June 2023.
  53. ^ "JSW Steel completes coal mine buy in US". The Economic Times. Retrieved 24 September 2022.
  54. ^ "JSW gets mining rights in Chile for $52 million". Business Standard India. 17 January 2008. Retrieved 24 September 2022.
  55. ^ Kalesh, Baiju (16 August 2006). "JSW acquires coal mines in Mozambique". The Times of India. Retrieved 24 September 2022.
  56. ^ "India's JSW Steel considers 75% interest in Teck's coal business". Reuters. 17 August 2023. Retrieved 19 August 2023.
  57. ^ Chan, Vinicy; Nair, Dinesh; Kalesh, Baiju (17 August 2023). "India's JSW Weighs Majority Stake in Teck Coal Unit". Bloomberg.com. Retrieved 19 August 2023.
  58. ^ Kurup, Rajesh (18 August 2023). "JSW weighs majority stake in Teck coal unit". Financialexpress. Retrieved 19 August 2023.
  59. ^ Iyengar, Suresh P. (19 February 2024). "JSW Steel eyes $1 billion stake in Australian coal mine". BusinessLine. Retrieved 1 March 2024.
  60. ^ Kurup, Rajesh (20 February 2024). "JSW Steel eyes stake in Australian mine". Financialexpress. Retrieved 1 March 2024.
  61. ^ "Reliance Foundation, Tata Power, Apollo receive Porter Prize". The Economic Times. 28 September 2015. ISSN 0013-0389. Retrieved 1 March 2024.
  62. ^ "JSW Steel's Vijayanagar unit awarded the Deming Prize". www.thehindubusinessline.com. 22 November 2018. Retrieved 19 July 2023.
  63. ^ "デミング賞受賞報告講演要旨 JSW STEEL LIMITED, SALEM WORKS, INDIA" (PDF). Union of Japanese Scientists and Engineers. 2019. Retrieved 19 July 2023.
  64. ^ "JSW Steel enters S&P DJSI Sustainability Index 2021 for Emerging Markets". The Times of India. 17 November 2021. ISSN 0971-8257. Retrieved 19 July 2023.
  65. ^ "worldsteel announces the 2022 Steel Sustainability Champions". worldsteel.org. Retrieved 19 July 2023.
  66. ^ "JSW Steel Ltd., a Great Place to Work". www.greatplacetowork.com. Retrieved 19 July 2023.
  67. ^ JSW: Architect Of Dreams | Full Episode | National Geographic | #SajjanJindal, 17 March 2024, retrieved 24 March 2024
  68. ^ "Nat Geo India's new documentary 'JSW: Architect Of Dreams' delves into the journey of a steel company JSW". 16 March 2024. Retrieved 24 March 2024.
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