JSW Steel shares gained on Tuesday after it has entered into a definitive agreement with Welspun Enterprises (WEL) pursuant to which the company shall acquire the entire equity shares held by WEL in Welspun Maxsteel (WMSL) for an enterprise value of Rs 10 billion plus net current assets as of an agreed date of Aug. 31, 2014, subject to the relevant regulatory approvals and customary closing conditions.

The company is a major player in the Indian steel industry with an installed capacity of 14.3 MTPA. The company has a strategic goal to enhance its steel production to 40 MTPA in the next decade. In line with this objective, JSW wishes to acquire the equity shares of WMSL.

Shares of the company are trading at Rs 1,284.90, up Rs 8.4, or 0.66% at the Bombay Stock Exchange (BSE) on Tuesday at 11:41 a.m.

The scrip has touched an intra-day high of Rs 1,295 and low of Rs 1,273. The total volume of shares traded at the BSE is 26,860.