The Competition Commission of India has approved Japanese major Nippon Steel Corporation’s proposal to acquire the remaining 53.4% stake in Krosaki Harima Corporation, giving it complete ownership of the refractory maker. Nippon Steel already holds 46.6% in Krosaki, and the deal will be executed via a tender offer and possible squeeze-out of minority shareholders, where applicable.
India’s competition regulator has given the green light to Nippon Steel Corporation’s plan to fully acquire Japan-based Krosaki Harima Corporation, marking a significant consolidation move in the global steel and refractories value chain. As mentioned in the Competition Commission of India’s press release on the CCI website, the approval covers a transaction under which Nippon Steel will move from joint to sole control of Krosaki.
Under the cleared combination, Nippon Steel will acquire an additional 53.4% shareholding in Krosaki Harima through a tender offer, with a provision for a squeeze-out of residual shareholders where permitted, taking its stake from 46.6% to 100%. The regulator has treated this as a change from significant minority holding to full control, and has allowed the deal to proceed under India’s merger control rules, with a detailed order to follow in due course.
In India, Nippon Steel is active in manufacturing tubes and pipes, processing automotive cold-rolled steel sheets and crankshafts, and importing and selling various steel products. Krosaki, listed in Japan, operates through affiliates that supply refractory products to high-temperature industries, including iron and steel, aluminium, cement, power, copper, and lime, some of which have a meaningful footprint in the Indian market.
Strategic and market implications
From a competition standpoint, the CCI appears to have concluded that the vertical and complementary nature of the businesses, and the presence of multiple alternative suppliers, would limit any adverse impact on Indian customers. Strategically, full ownership of Krosaki strengthens Nippon Steel’s control over a critical input—refractories—used extensively in steel-making and other thermal-intensive sectors, potentially improving supply security and integration for its India-linked operations.
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The transaction also signals continued interest of Japanese industrial groups in deepening their exposure to Indian and global infrastructure cycles, even amid a tighter global antitrust climate. Once the tender offer is completed and any squeeze-out processes conclude, the focus will shift to how quickly Nippon Steel can translate this integration into operational and cost synergies across its global network, including India-facing business lines.
