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JSW Cement to raise Rs 1,500 cr from two global PE firms
Cement

JSW Cement to raise Rs 1,500 cr from two global PE firms

Sajjan Jindal-led JSW Cement has entered into an agreement to raise Rs 1,500 crore from two global private equity investors, Synergy Metals Investments Holding and Apollo Global Management.

The transaction is a structured private equity deal wherein compulsorily convertible preference shares (CCPS) are being allotted to the investors, and the conversion of such CCPS into common equity of the company will be connected to the company’s future performance and valuation defined at the time of the initial public offering.

Nilesh Narwekar, Chief executive officer, JSW Cement, told the media that the company would use this investment to grow organically and inorganically. JSW plans to enter key new geographies and increase their share in their existing markets. With new initiatives over their plants and functions, they are prepared to proceed to create and play a vital role in the core infrastructure growth of the nation.

This investment will support JSW Cement expedite its capacity development from the current 14 million tonne to 25 million tonne.

Recently, the Competition Commission of India allowed the transaction by Synergy Metals Investment Holding Ltd. Apollo’s transaction is subject to customary closing provisions comprising regulatory approval.

Synergy Metals and Mining Fund, the parent entity of Synergy Metals Investments Holding, is a specialised private equity fund investing in the metals, power and industrial sectors worldwide.

Apollo Global Management is a leading global alternative asset manager having assets under management of around $461 billion as of March 31, 2021. The company's hybrid value business offers flexible, tailored equity and debt capital solutions to private and public firms.

Citigroup Global Markets India served as an exclusive placement agent on this transaction for JSW Cement.

Image Source


Also read: JSW Cement forays into construction chemicals

Also read: JSW cement forays into ready mix concrete business

Sajjan Jindal-led JSW Cement has entered into an agreement to raise Rs 1,500 crore from two global private equity investors, Synergy Metals Investments Holding and Apollo Global Management. The transaction is a structured private equity deal wherein compulsorily convertible preference shares (CCPS) are being allotted to the investors, and the conversion of such CCPS into common equity of the company will be connected to the company’s future performance and valuation defined at the time of the initial public offering. Nilesh Narwekar, Chief executive officer, JSW Cement, told the media that the company would use this investment to grow organically and inorganically. JSW plans to enter key new geographies and increase their share in their existing markets. With new initiatives over their plants and functions, they are prepared to proceed to create and play a vital role in the core infrastructure growth of the nation. This investment will support JSW Cement expedite its capacity development from the current 14 million tonne to 25 million tonne. Recently, the Competition Commission of India allowed the transaction by Synergy Metals Investment Holding Ltd. Apollo’s transaction is subject to customary closing provisions comprising regulatory approval. Synergy Metals and Mining Fund, the parent entity of Synergy Metals Investments Holding, is a specialised private equity fund investing in the metals, power and industrial sectors worldwide. Apollo Global Management is a leading global alternative asset manager having assets under management of around $461 billion as of March 31, 2021. The company's hybrid value business offers flexible, tailored equity and debt capital solutions to private and public firms. Citigroup Global Markets India served as an exclusive placement agent on this transaction for JSW Cement. Image Source Also read: JSW Cement forays into construction chemicals Also read: JSW cement forays into ready mix concrete business

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