JSW Cement Secures Sebi Nod for Rs.4,000 Cr IPO
Cement

JSW Cement Secures Sebi Nod for Rs.4,000 Cr IPO

JSW Cement, a part of the Sajjan Jindal-led JSW Group, has received approval from the Securities and Exchange Board of India (Sebi) for its ?40 billion initial public offering (IPO). The company had submitted its draft red herring prospectus (DRHP) on August 17.

The IPO will comprise a fresh equity issue of Rs 20 billion and an offer-for-sale (OFS) of Rs 20 billion from existing shareholders, including Apollo Global Management, Synergy Metals Investment Holding, and SBI.

Industry Milestone This marks the first significant cement sector IPO since Nuvoco Vistas' Rs 50 billion offering in 2021. It also follows the JSW Group's IPO for JSW Infrastructure in October 2023, breaking a 13-year gap for the conglomerate in Dalal Street listings.

Expansion and Utilization Plans Proceeds from the IPO will fund key projects, including Rs 8 billion for a new integrated cement unit in Nagaur, Rajasthan, ?7.2 billion for debt repayment, and the remainder for general corporate purposes. JSW Cement, known for its focus on green cement, aims to double its installed grinding capacity to 40.85 MMTPA and clinker capacity to 13.04 MMTPA in the coming years, with a long-term target of 60 MMTPA.

Market Context The approval comes amid fierce competition in the cement sector, with M&A battles between UltraTech Cement and the ACC-Ambuja combine. The sector's dynamics make JSW Cement’s listing a notable development.

Investment banks, including JM Financial, Kotak Mahindra Capital, and Goldman Sachs, are managing the IPO. Khaitan and Co is the legal advisor.

JSW Cement, a part of the Sajjan Jindal-led JSW Group, has received approval from the Securities and Exchange Board of India (Sebi) for its ?40 billion initial public offering (IPO). The company had submitted its draft red herring prospectus (DRHP) on August 17. The IPO will comprise a fresh equity issue of Rs 20 billion and an offer-for-sale (OFS) of Rs 20 billion from existing shareholders, including Apollo Global Management, Synergy Metals Investment Holding, and SBI. Industry Milestone This marks the first significant cement sector IPO since Nuvoco Vistas' Rs 50 billion offering in 2021. It also follows the JSW Group's IPO for JSW Infrastructure in October 2023, breaking a 13-year gap for the conglomerate in Dalal Street listings. Expansion and Utilization Plans Proceeds from the IPO will fund key projects, including Rs 8 billion for a new integrated cement unit in Nagaur, Rajasthan, ?7.2 billion for debt repayment, and the remainder for general corporate purposes. JSW Cement, known for its focus on green cement, aims to double its installed grinding capacity to 40.85 MMTPA and clinker capacity to 13.04 MMTPA in the coming years, with a long-term target of 60 MMTPA. Market Context The approval comes amid fierce competition in the cement sector, with M&A battles between UltraTech Cement and the ACC-Ambuja combine. The sector's dynamics make JSW Cement’s listing a notable development. Investment banks, including JM Financial, Kotak Mahindra Capital, and Goldman Sachs, are managing the IPO. Khaitan and Co is the legal advisor.

Next Story
Infrastructure Transport

Mumbai-Ahmedabad Bullet Train Set to Launch by 2028

India’s first bullet train is set to revolutionize high-speed travel along the western corridor, with the Mumbai-Ahmedabad high-speed rail project aiming for a 2028 launch. This announcement marks a major milestone in India’s infrastructure goals, as it promises to reduce travel time between the two economic hubs from eight hours to just three.Spanning a planned 508-kilometre stretch, the corridor stands as a flagship example of Indo-Japanese collaboration in technology and engineering. Once operational, the train is expected to transform intercity mobility and place India among the select..

Next Story
Infrastructure Transport

Mumbai-Gandhinagar Train Service Enhances Passenger Capacity

The Mumbai Central–Gandhinagar Capital Vande Bharat Express has increased its passenger capacity by adding four additional AC chair car coaches to meet the growing commuter demand on one of India’s busiest business corridors. This upgrade, effective from 11 May, raised the train’s seating capacity from 1,128 to 1,440 passengers, allowing it to serve 936 more passengers daily in both directions. The increase was described as a practical measure to accommodate the surging demand on the busy Mumbai–Ahmedabad–Gandhinagar route, which regularly operates at over 150 percent seat occupancy...

Next Story
Infrastructure Urban

Delhi Plans 12 Sewage Plants to Clean Najafgarh Drain Efficiently

Delhi’s ambitious plan to improve the water quality of the Yamuna River has gained significant momentum as the Delhi Jal Board (DJB) has begun work on 12 new sewage treatment plants (STPs) aimed at reducing the volume of untreated sewage being discharged from the Najafgarh Drain.This initiative forms part of the ongoing efforts to clean the Yamuna and restore the river’s health, which has long been a critical environmental issue for the national capital. Given the alarming pollution levels in the Yamuna, experts and officials consider this project a vital step toward addressing the persist..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?