The Shashi Ruia-controlled Essar Steel Ltd has finally agreed to acquire Pune-based Shree Precoated Steels Ltd (SPSL) for over Rs 600 crore.

SPSL is a member of the US $ 300 million Ajmera group of companies. The group has established itself as one of India's leading residential and commercial property developers. The group also has strong presence in the fields of Cement, Textiles, Printing, Information Technology and Entertainment Parks.

Shree Precoated steels, has a capacity to make 6 lakh tones of cold steel, 4.5 lakh tones of galvanized steel and 3.5 lakh tones of colour coated steel.

According to market experts, the purchase will give Essar Steel Ltd, a foothold into the galvanized and colour coated market, making it a significant supplier to the auto-manufacturing hub in Pune.