Amalgamation becomes effective; 10 shares for every 156 shares held
The scheme of amalgamation of Piombino Steel Limited into JSW Steel Limited has become effective on October 31, 2026.
By ScoutQuest · · 2 min read
- Scheme Effective Date
- October 31, 2026
- Appointed Date
- opening business hours of January 1, 2026
- Share Exchange Ratio
- 10 fully paid-up equity shares of Re. 1 each of JSW Steel for every 156 fully paid-up equity shares of Rs. 10 each of Piombino Steel
Scheme becomes effective
The amalgamation of Piombino Steel Limited (the Transferor Company) with JSW Steel Limited has become effective on October 31, 2026. It operates with effect from the Appointed Date of opening business hours of January 1, 2026. This followed the update of the certified copy of the final order of the National Company Law Tribunal, Mumbai Bench, dated October 16, 2026, with the Registrar of Companies, Mumbai - I through e-form INC-28. Piombino Steel now stands amalgamated with and into JSW Steel in accordance with the scheme.
What the transferor company's shareholders get
- The consideration is 10 fully paid-up equity shares of Re. 1 each of JSW Steel for every 156 fully paid-up equity shares of Rs. 10 each of Piombino Steel.
Authorised share capital after the merger
- Piombino Steel's authorised share capital stands reclassified, consolidated and combined with that of JSW Steel.
- Clause V of the Memorandum of Association is substituted: the authorised share capital is now Rs. 27,980 crore, consisting of 19,030 crore equity shares of Re. 1 each and 895 crore preference shares of Rs. 10 each.
About the transferor company
- Piombino Steel was incorporated on 21 September 2018; its equity shares are not listed on any recognised stock exchange in India.
- It is engaged in buying, selling, trading and otherwise dealing in steel and allied products, iron ore, coal, coke, brick-earth, ores, minerals, alloys and metal scrap.
- Its paid-up share capital is Rs. 5877,36,40,000.
How shareholders voted
- The scheme was approved by equity shareholders holding votes representing 94.86% of the valid votes cast by the company's equity shareholders.
- It was also approved by public shareholders representing 97.20% of the valid votes cast by its public shareholders.
- Votes cast in favour by public shareholders exceeded those cast against, meeting the requirement under Section 230 of the Companies Act, 2013 and the SEBI Master Circulars.
Stated reasons for the merger
- It allows JSW Steel to directly hold the investment in Bhushan Power and Steel Limited, giving it a platform to facilitate transactions and investments related to that business with strategic focus.
- The transferee company will have additional cash to pursue growth aspirations in a financially prudent manner.
- Fewer entities and fewer regulatory compliances reduce overall compliance and overhead costs.
- Less time and effort for consolidation of financials at the transferee company level.
- Consolidation of administrative and managerial functions, avoiding duplicate record-keeping and related expenses, and better use of resources.
What this means for a retail shareholder
- The consideration for the merger is in the form of JSW Steel equity shares issued in the ratio stated above, so the company's share capital structure changes to reflect the combination with Piombino Steel.
- The merger brings Piombino Steel's business into JSW Steel and removes a separate entity, which is what the order records as the rationale.
Also from JSW Steel
JSW Steel files transcript of Q2FY27 earnings conference call held October 23, 2026
29 Oct 2026
JSW Steel stock gained 2.5-3.5% following positive results reaction
26 Oct 2026
JSW Steel guided FY26 capex of Rs 22,000-24,000 crore and announced expansion of its JFE Steel joint venture (JSL) to 10 million tons capacity
26 Oct 2026
More numbers
- JSW Steel shares per 156 Piombino shares10 (Ten) fully paid-up equity shares of Re. 1
- Piombino shares per exchange ratio156 (One Hundred and Fifty-Six) fully paid-up equity shares of Rs. 10
- Revised authorised share capitalRs. 2,79,80,00,00,000
- Authorised equity shares after revision1,90,30,00,00,000
- Authorised preference shares after revision8,95,00,00,000
- Piombino Steel paid-up share capitalRs. 5877,36,40,000/-
- Equity shareholder approval94.86%
- Public shareholder approval97.20%
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