Arjas Steel has acquired steel, auto components and heat treatment businesses of Chandigarh-based Modern Steels Ltd, the Bengaluru-headquartered company said on Monday.
Arjas Steel owns and operates a 3,00,000 tonne integrated steel plant at Tadipatri in Andhra Pradesh. The company is one of the leading manufacturers of alloy steel in the country.
"On November 15, a definitive agreement was signed between wholly-owned subsidiary Arjas Modern Steel Private Limited and Modern Steels Ltd, to acquire 100 per cent of all steel business, heat treatment business and auto component business of Modern Steels Ltd," Arjas Steel said in a statement.
The company did not disclose any financial details related to the deal.
Arjas Steel Managing Director (MD) Sridhar Krishnamoorthy said the deal gives the company a manufacturing platform in North India.
The company further said that the acquisition gives it a total 4,50,000 tonne capacity in specialty steel for the automotive sector, stainless steel and bright bars.
Modern Steels Ltd makes special steel, besides alloy steel for the automotive industry.