Shah Alloys in JV talks with Posco

Ahmedabad-based Shah Alloys (SAL), the country's second largest stainless steel manufacturer, is reported to be in talks with Posco's Indian subsidiary, Posco India, for a possible tie-up.

According to industry sources, SAL has been holding talks with the South Korean steel major since a few months to float a joint venture.

Posco India spokesman Shashank Pattnaik said, "Shah Alloys has invited us to start steel business in Gujarat. But the company is yet to take a call on this."

The tie-up is expected to be a joint venture either to set up a greenfield steel manufacturing plant or to outsource steel manufacturing to SAL.