JSW Steel has sought shareholder approval for a strategic joint venture with Japan’s JFE Steel Corporation to unlock value from the steel-making assets of Bhushan Power & Steel Ltd (BPSL), which it acquired through insolvency proceedings in 2021. Under the proposal, BPSL’s assets will be transferred to a new 50:50 joint venture through a slump sale to a JSW subsidiary for ₹24,483 crore, with JFE investing ₹15,750 crore for its stake.
The transaction is expected to generate total cash inflows of about ₹32,350 crore and, along with the deconsolidation of BPSL’s debt, reduce JSW Steel’s consolidated net debt by nearly ₹37,250 crore. This will significantly strengthen the balance sheet and support the company’s domestic capacity expansion plans through 2031.
JSW Steel will retain a 50% stake in the joint venture, enabling participation in future growth backed by JFE’s technology and global expertise. Shareholders will vote on the proposal via postal ballot, with results expected by early February 2026.
