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JSW Steel has finalized the deal to acquire Aferpi, which is Italy’s second largest steelmaker.
The value of the deal is approx Rs.600 crore. Aferpi has a capacity to produce 2.5 million tons of steel every year. It used to have an employee-strength of 2,000. Its operations include a blast furnace, a steel mill, a coke oven and a ports.
At present Aferpi manufactures products used in sectors such as railways, energy, automotive and engineering. Further, with this acquisition JSW Steel’s presence in Italy will give it an access to high margin products and the company may opt to supply primary steel from its India-based facilities and convert them into high margin products in Italy.
