India's Jindal Stainless to invest $647 million for acquisitions, increasing capacity

(Reuters) -India's Jindal Stainless said on Wednesday it is investing nearly 54 billion rupees ($646.6 million) for acquisitions and capacity expansion.

The company will acquire a 54% equity stake in Chromeni Steels, which owns a 0.6 million tonnes per annum (MTPA) cold rolling mill in Gujarat state, for a deal valued at 13.40 billion rupees.

Jindal Stainless also entered into a joint venture for a stainless steel melt shop in Indonesia with an annual production capacity of 1.2 MTPA.

The JV will increase the company's melting capacity by more than 40% to 4.2 MTPA at an investment of over 7 billion rupees.

Jindal Stainless also plans to invest 33.50 billion rupees to expand its downstream lines in Odisha state and upgrade infrastructure.

($1 = 83.4684 Indian rupees)

(Reporting by Dimpal Gulwani in Bengaluru; Editing by Shounak Dasgupta)