JSW Steel Concludes ₹750-Crore Investment in Corporate Paint Venture

JSW Steel has successfully fulfilled its commitment made in July 2021 by completing a substantial investment of ₹750 crore in its group company, JSW Paints.

As of now, JSW Steel holds 2,94,82,565 equity shares in JSW Paints, representing a significant 12.84% of the issued and paid-up equity capital of JSW Paints.

The completion of the investment was officially announced after the last tranche of ₹75 crore was injected into JSW Paints on November 22. The entire investment process was spread across multiple tranches, with the final one being completed recently.

This strategic investment plan, totaling ₹750 crore, was devised to be carried out in 3-4 tranches between the fiscal years 2022 and 2025. In the initial tranche in July 2021, JSW Steel had already invested ₹300 crore, acquiring approximately 7.5% of the issued and paid-up equity capital of JSW Paints during the second quarter of the fiscal year 2022.

Notably, JSW Steel's investment in the group's paint business unfolds concurrently with Grasim Industries, an Aditya Birla Group entity, venturing into the paints industry. Grasim Industries is set to inaugurate the first of its planned six paint plants in the upcoming March quarter. Operating under the 'Birla Opus' brand, Grasim aims to become a key player in the decorative paints segment, with a phased launch of paint plants, ultimately positioning itself as the second-largest player in the decorative paint business.

HBL