Brazilian steelmaker Gerdau hunts for more buys in India
HYDERABAD: Brazilian steelmaker Gerdau SA said it is on the lookout for more acquisitions in India, even as it announced that it now had a 99%stake in its first JV in the country with Kalyani Steels.
Gerdau is upbeat on the sector's prospects in the long run, said its director of marketing, Ramaswamy Visweswaran. "Gerdau is hopeful that the Indian steel sector would grow sizeably given the current low per capita consumptions in the domestic market." Keeping in view the long-term prospects, the Brazilian steel company "is open to acquisitions in the Indian market and has been in active talks with a few Indian steel companies either for majority stake or complete stake," he told ET over phone. He, however, refused to divulge the identity of the steel companies that Gerdau is currently in talks with.
Gerdau, which joined hands with Kalyani SteelsBSE 2.63 % in June 2007 with 45% equal stake with the Indian partner for the steel manufacturing facility at Tadipatry in Andhra Pradesh, now owns 99% in the joint venture.