JSW Energy, led by billionaire Sajjan Jindal, has unveiled plans to raise Rs 5,000 crore through a qualified institutional placement (QIP) program. This initiative involves selling shares to high net worth investors in one or more rounds.
JSW Energy plans to execute this fundraising endeavor by selling shares at a floor price of Rs 510.09 apiece, representing a 6% discount to the company’s recent closing price of Rs 540.20. The offering is scheduled to commence on April 5, 2024.
In compliance with regulatory requirements, JSW Energy’s Finance Committee has designated April 2, 2024, as the ‘Relevant Date’ for the issuance. The floor price of Rs 510.09 per Equity Share has been determined based on the pricing formula prescribed under Regulation 176(1) of the SEBI ICDR Regulations.
Despite outlining the fundraising strategy, JSW Energy has not disclosed specifics regarding the utilization of the proceeds. However, the company’s robust presence in India’s power sector, coupled with its diverse assets in power generation and transmission, underscores its significance as a premier private-sector contributor to the nation’s energy landscape.
JSW Energy’s parent entity, the JSW Group, is esteemed with a valuation of $23 billion, further affirming the company’s stature and influence within the industry. As the company embarks on this capital-raising initiative, it is poised to reinforce its position and drive continued growth in India’s dynamic power sector.