It is investing the money at Code Serve in Brynmawr, Blaenau Gwent, Dyfed Steels in Llanelli, Carmarthenshire, Express Reinforcements in Neath and Celsa Steel in Cardiff.
The businesses are also investing £8.75m in new facilities, new equipment and expansion projects.
The money is also being used for environmental improvements.
A £2.8m investment in the steel industry will create 90 new jobs, the Welsh Government has said.