JSW Steel plans to raise up to Rs 17,000 cr; $1 bn from int’l markets

JSW Steel on Friday said that its board of directors has approved plans to raise funds of up to Rs. 17,000 crore by issuing various securities and tapping international markets to dispose of US$1 billion.

According to a regulatory filing, it is proposed to raise a lump sum of Rs 17,000 crore through the issuance of Convertible Notes and Non-Convertible Debentures (NCDs), among other instruments.

Besides, the Board of Directors approved a proposal to raise US$1 billion through the issuance of non-convertible fixed-rate unsecured bonds in the international markets, JSW Steel reported.

Regarding the plan to dispose of Rs 14,000 crore through the issuance of non-convertible debentures and convertible securities, the company said, it got shareholder approval in July 2022.

The filing said: “No action was taken on the enabling resolution within the specified period of one year. Therefore, in order to validate the said resolution, a fresh approval of the shareholders is sought at the following annual general meeting.”

The Board has also agreed to raise Rs 3,000 crore by issuing secured/unsecured, refundable NCDs not exceeding Rs 3,000 crore, by private placement and/or by public placement, in one or more tranches, in the domestic market.

The Company has plans to use the proceeds to replace short-term loans, meet long-term working capital requirements, capital expenditures/repay capital expenditures already incurred and/or for general corporate purposes.

(Only the title and image for this report may have been reworked by the Business Standard staff; the rest of the content is generated automatically from a shared feed.)

First published: May 19, 2023 | 10:48 p.m ist