CCI Approves JSW Group's Internal Restructuring and Proposal to Merge BMM Steel

The Competition Commission of India (CCI) has approved a proposed combination related to the internal restructuring of the JSW Group. The primary parties involved in this combination process are JSW Steel Limited, JSW Projects Limited, and BMM Steel Limited.

The main objective of this proposed combination is to carry out an internal restructuring within the JSW Group, through which the group's majority stake in BMM Steel Limited will be consolidated into full ownership. Currently, the JSW Group holds a 58.47 percent equity stake in BMM through its subsidiary, JSW Projects. BMM is already commercially integrated into the group's supply chain.

To enhance operational, financial, and organizational efficiencies, the JSW Group has proposed to fully integrate BMM into JSW Steel through a merger. The group believes that this move will lead to the pooling of resources, rationalization of capital, and the realization of economies of scale.

According to the details of the companies involved, JSW Steel is a company listed on the National Stock Exchange (NSE) and the BSE, engaged in the manufacturing and sale of iron and steel products in both Indian and international markets. Its operations span from mining to downstream value-added manufacturing.

JSW Projects, headquartered in Mumbai, is an unlisted public limited company. It is primarily engaged in the manufacturing of iron ore pellets and sponge iron/DRI, as well as power generation, which are used in the production of JSW Steel's products.

Meanwhile, BMM is a public limited company that produces semi-finished and long steel products. The company operates an integrated steel manufacturing plant in Karnataka with a capacity of approximately 1 MTPA, where the entire process from iron making to the rolling of finished products is carried out.