Jindal Stainless to divest entire 26% stake in Jindal Coke by September

Jindal Stainless (JSL) on Wednesday announced plans to divest its entire 26% stake in associate company, Jindal Coke on or before 30 September 2024.

In the first tranche, Jindal Stainless sold 15.8 lakh shares of Jindal Coke at ₹231 per share, representing 4.87 % stake for over ₹36.49 crore. These shares were picked by JSL Overseas, which is a majority shareholder in Jindal Coke.

Following the announcement, Jindal Stainless shares were down 3.34 % on NSE in morning trade. The shares were trading at ₹689.55. They closed at ₹713.35 yesterday.

Jindal Stainless, led by its chief executive Tarun Kumar Khulbe, also announced it has acquired a 100% stake in lberjindal S.L, a Spanish entity. The company bought out the entire stake of its JV partner in Iberjindal, Fagor Industrial, S.Coop.

JSL said “On April 2, 2024, acquired entire stake of Fagor Industrial, S.Coop. ("Fagor"), the JV Partner in lberjindal, constituting 3 lakh shares of the face value of each at a price of €0.1 per share, representing 30% of the paid-up share capital in lberjindal”

The company is also in the process of buying the balance 5% stake held by other minority shareholders in Iberjindal. Jindal Stainless management said lberjindal, which operates in the stainless steel segment, has a significant presence in the European market. As a result, this stake buy will help Jindal Stainless to cater to the European market.

In January, the board of Jindal Stainless gave in-principle approval to divest its stake in Jindal Coke and the acquisition of Inberjindal, a subsidiary company based in Spain.

Jindal Stainless reported revenue from operations of ₹9,087.57 crore in the quarter ended December 31, 2023, as compared to ₹9,001.30 crore December 31, 2024.