JSW Steel Limited announced on 3 December 2025 that it will transfer the steel business undertaking of Bhushan Power and Steel Limited (BPSL) into a new joint venture with JFE Steel Corporation of Japan, with each partner holding a 50 percent stake. The transaction, structured as a slump sale, carries an equity value of INR 315 billion and a cash consideration of INR 244.83 billion. JFE will invest INR 157.5 billion in two tranches to acquire its stake.
The move forms part of a broader strategy to monetise part of its holding in BPSL and strengthen the balance sheet while supporting future expansion plans. The company targets domestic crude steel capacity of 50 million tonnes per annum by FY 2031 and said the joint venture will integrate JFE’s technology with JSW’s execution and operating capabilities.
“We believe this partnership with JFE Steel will support our long-term growth strategy and enhance the competitiveness of the BPSL operations,” said Jayant Acharya, Joint Managing Director and CEO of JSW Steel. “The transaction will also help us allocate capital efficiently for the next phase of expansion,” he said.
JSW acquired BPSL in 2021 through the insolvency resolution process and has since expanded capacity from 2.75 million tonnes per annum to 4.5 million tonnes per annum. The BPSL unit currently employs 25,000 people. JFE Steel said the partnership aligns with its longstanding collaboration with JSW, which began with a comprehensive strategic alliance in 2009.
“By operating an integrated steel plant in India together with JSW, we aim to contribute to the growth of both companies and to the development of India’s steel industry,” said Masayuki Hirose, President and CEO of JFE Steel Corporation.
JSW Steel Limited is the flagship company of the JSW Group and has consolidated crude steel capacity of 35.7 million tonnes per annum, including 1.5 million tonnes per annum in the United States. Its major domestic facilities include the Vijayanagar plant in Karnataka, which has capacity of 17.5 million tonnes per annum.
