AM/NS India, a joint venture between ArcelorMittal and Japan’s Nippon Steel, is open to exploring acquisition opportunities, according to CEO Dilip Oommen. The company, which has grown significantly through strategic deals in recent years, remains interested in potential acquisitions if they align with its business objectives.
“If viable opportunities present themselves, we will certainly consider them,” Oommen told reporters. The company has reportedly been in discussions to acquire Vedanta’s Electro Steel (ESL), though negotiations have faced challenges over valuations and concerns about land use for expansion. Oommen declined to comment on these talks, while a Vedanta spokesperson dismissed the discussion as market speculation.
Vedanta is working to expand its steel unit’s capacity to 3.5 million tonnes from the current 1.5 million tonnes by year-end. The company has emphasized that ESL’s land and infrastructure offer unique advantages for potential growth into a 20-million-tonne-per-annum (MTPA) facility. Vedanta has indicated a willingness to sell ESL if the right offer comes along.
Oommen highlighted several key factors that AM/NS India considers when evaluating acquisitions, including logistics infrastructure, connectivity to raw materials, and clear land titles. The company has previously expanded through the acquisition of Essar Steel in 2019 for ₹42,000 crore, followed by the purchase of a power plant and ports from the Essar Group in 2022 for ₹16,500 crore. Additionally, AM/NS acquired Uttam Galva Steels and Indian Steel Corp, further solidifying its presence in the industry.
AM/NS India’s current production capacity at its Hazira plant stands at 9 million tonnes annually, with plans to expand to 15 million tonnes by 2025-2026 through an investment of ₹60,000 crore. The company aims to make the Hazira facility the world’s largest integrated plant, with a future capacity of 24 million tonnes. In Odisha, the company’s greenfield project at Paradip is expected to reach a production capacity of 9-10 million tonnes within the next five years.
“We are targeting a 30% market share for flat products,” Oommen noted, though he did not provide a specific timeline for achieving this goal. Currently, AM/NS India holds less than a 10% share of the flat products market.
