JSW Steel has rallied 5% to Rs 803 after the company said it has signed a joint agreement with Japanese firm JFE Steel Corporation for technical collaboration.
“Under the agreement, JFE will provide technology for the production of non-oriented electrical steel sheets (CRNGO) at the JSW’s Vijayanagar plant in Bellary district of Karnataka,” JSW Steel said in a statement.
The electrical steel sheet products are primarily imported due to technological constraints and the company shall be in a position to cater to fast growing consumer and industrial applications market.
“Demand for electrical steel sheets is expected to increase in India, mainly because of the country's plans to expand its power-generation capacity by about 44% to 288 gigawats in five years through March 2017,” according to media report.
The stock opened at Rs 766 and hit a high of Rs 806 on the NSE. A combined 1.98 million shares have changed hands on the counter so far on both the exchanges.
