Brazil-based steelmaker Gerdau on Monday announced that it had increased its stake in Tadipatri, Andhra Pradesh-based Kalyani Gerdau joint venture to more than 99 per cent.

Gerdau, one of the biggest steel producers in the American subcontinent, had created a joint venture with Kalyani Steels Ltd to acquire SJK Steel Plant Ltd with an equal partnership of 45 per cent stake. The remaining 10 per cent stake in the steel plant had been held by the plant's previous owner and financial institutions.

Gerdau gradually acquired the partners' stakes and thus now owns a majority stake in the steel plant.

Announcing its majority ownership in the plant, Gerdau said in a statement that the company now owned nearly 99.5 per cent stake in the Tadipatri-based steep producer.

Speaking about the company's expansion, Gerdau director Visweswaran said, "With the expansion of the equity base, the shareholding of the FIs and the previous owner of the unit declined to 0.5%."

The steel plant, which has an installed capacity of around 300,000 tonnes of special steels, has recently commenced operations of its blast furnace, melt shop, power plant, sinter plant and rolling mill.

The Brazilian company has also announced its decision to change the steel unit's name from Kalyani Gerdau to Gerdau.

In addition, Gerdau also announced that it could make more acquisitions in India. The company said that it was open to acquisitions in India and had already been in active talks with some Indian steel companies to in a bid to acquire either a majority stake or complete stake.