Jindal Stainless buys Maspeon

Jindal Stainless buys Maspeon

MUMBAI: Jindal Stainless Ltd., India's largest stainless steel producer, on Thursday said it bought Indonesian steel company Maspeon Stainless Steel for US$32 million.

Jindal said in a statement to the Bombay Stock Exchange the Indonesian company will now be named PT Jindal Stainless Indonesia.

Jindal said it plans to invest an additional $12 million by the end of this fiscal year ending March 2005 to double the Indonesian plant's annual capacity to 100,000 metric tons.

The Indonesian unit will help Jindal meet stainless steel demand in Southeast Asia, which is estimated to be growing at 10 percent a year, the company said.

Demand in the Indian stainless steel market is currently growing at 8 percent a year, it said. -- DJ