JFE Steel Corporation has acquired 15% of India’s JSW Steel for INR 48bn ($1.02bn).

The deal will help JFE increase its share of the ever-growing Indian steel market and is part of its strategy to increase its presence there.

JFE said that it would provide JSW with technology to make automotive steel at the Vijayanagar Works as well as consider involvement in an integrated mill project in the state of West Bengal that had been put on hold due to funding problems.

JFE and JSW had agreed in November to consider taking stakes in each other as part of an alliance that would include making auto-grade steel in India and a move towards joint sourcing of raw materials.