Sebi places JSW Cement's Rs 40 Bn IPO on hold
03 Sep 2024
2 Min Read
CW Team
The capital markets regulator Sebi has put on hold the proposed Rs 40 billion initial public offering (IPO) of JSW Cement. Sebi did not provide specific reasons for this decision but stated that the "issuance of observations has been kept in abeyance," according to an update on its website on Monday. JSW Cement, a part of the diversified JSW Group, had filed the preliminary IPO papers with Sebi on August 16.
The proposed IPO includes a fresh issue of equity shares worth Rs 20 billion and an offer-for-sale (OFS) of Rs 20 billion by investor shareholders, as outlined in the draft red herring prospectus (DRHP) submitted to the regulator. Under the OFS, AP Asia Opportunistic Holdings Pte. Ltd and Synergy Metals Investments Holding Ltd are set to offload shares worth Rs 9.37 billion each, while the State Bank of India (SBI) will divest shares valued at Rs 125 crore.
The proceeds from the fresh issue will be allocated as follows: Rs 8 billion for partially financing the establishment of a new integrated cement unit in Nagaur, Rajasthan, Rs 7.2 billion for debt repayment, and the remaining funds for general corporate purposes.
JSW Cement, which currently has a manufacturing capacity of 19 MT annually, aims to increase its capacity to 60 MTPA. The company operates manufacturing units in Vijayanagar (Karnataka), Nandyal (Andhra Pradesh), Salboni (West Bengal), Jajpur (Odisha), and Dolvi (Maharashtra). Additionally, through its subsidiary Shiva Cement, it operates a clinker unit in Odisha.
JSW Group has diversified business interests in sectors such as steel, energy, maritime infrastructure, defence, B2B e-commerce, realty, paints, sports, and venture capital. The company's IPO process is being managed by JM Financial Ltd, Axis Capital Ltd, Citigroup Global Markets India Private Ltd, DAM Capital Advisors Ltd, Goldman Sachs (India) Securities Private Ltd, Jefferies India Private Ltd, Kotak Mahindra Capital Company Ltd, and SBI Capital Markets Ltd.
The capital markets regulator Sebi has put on hold the proposed Rs 40 billion initial public offering (IPO) of JSW Cement. Sebi did not provide specific reasons for this decision but stated that the issuance of observations has been kept in abeyance, according to an update on its website on Monday. JSW Cement, a part of the diversified JSW Group, had filed the preliminary IPO papers with Sebi on August 16.
The proposed IPO includes a fresh issue of equity shares worth Rs 20 billion and an offer-for-sale (OFS) of Rs 20 billion by investor shareholders, as outlined in the draft red herring prospectus (DRHP) submitted to the regulator. Under the OFS, AP Asia Opportunistic Holdings Pte. Ltd and Synergy Metals Investments Holding Ltd are set to offload shares worth Rs 9.37 billion each, while the State Bank of India (SBI) will divest shares valued at Rs 125 crore.
The proceeds from the fresh issue will be allocated as follows: Rs 8 billion for partially financing the establishment of a new integrated cement unit in Nagaur, Rajasthan, Rs 7.2 billion for debt repayment, and the remaining funds for general corporate purposes.
JSW Cement, which currently has a manufacturing capacity of 19 MT annually, aims to increase its capacity to 60 MTPA. The company operates manufacturing units in Vijayanagar (Karnataka), Nandyal (Andhra Pradesh), Salboni (West Bengal), Jajpur (Odisha), and Dolvi (Maharashtra). Additionally, through its subsidiary Shiva Cement, it operates a clinker unit in Odisha.
JSW Group has diversified business interests in sectors such as steel, energy, maritime infrastructure, defence, B2B e-commerce, realty, paints, sports, and venture capital. The company's IPO process is being managed by JM Financial Ltd, Axis Capital Ltd, Citigroup Global Markets India Private Ltd, DAM Capital Advisors Ltd, Goldman Sachs (India) Securities Private Ltd, Jefferies India Private Ltd, Kotak Mahindra Capital Company Ltd, and SBI Capital Markets Ltd.
Next Story
CRCL, IIT Delhi Sign MoU to Boost Science and Ease of Business
The Central Revenues Control Laboratory (CRCL), Central Board of Indirect Taxes and Customs (CBIC), Department of Revenue, Ministry of Finance, and the Indian Institute of Technology (IIT) Delhi signed a Memorandum of Understanding (MoU) toward trade facilitation and improving the ease of doing business. This MoU collaboration aims to foster R&D, innovation, and scientific excellence at CRCL, bolstering trade facilitation and regulatory efficiency.The MoU was signed by Prof. Rangan Banerjee, Director, IIT Delhi, and Shri V. Suresh, Director, CRCL, in presence of Shri Surjit Bhujabal, Speci..
Next Story
CAQM Sub-Committee Activates 27-Point Plan to Improve NCR Air Quality
The daily average AQI of Delhi has been hovering marginally above 200 threshold with forecast of slight improvement since last two days. Today, Delhi鈥檚 daily average Air Quality Index (AQI) clocked 213 (鈥楶oor鈥� category), as per the daily AQI Bulletin provided by the Central Pollution Control Board (CPCB), owing to variable winds. In wake of the average/ overall air quality of Delhi recording 鈥楶oor鈥� air quality category ranging between 201-300, the CAQM Sub-Committee on GRAP met today to take stock of the current air quality scenario of Delhi-NCR. While comprehensively reviewing the a..
Next Story
DoT Launches Financial Fraud Risk Indicator to Boost Cybersecurity
In a major step towards combating cyber fraud and financial crime, the Department of Telecommunications (DoT) has announced sharing of 鈥淔inancial Fraud Risk Indicator (FRI)鈥� with stakeholders- an output from a multi- dimensional analytical tool developed as part of the Digital Intelligence Platform (DIP) to empower financial institutions with advance actionable intelligence for cyber fraud prevention. This will enhance cyber protection and validation checks in case of mobile numbers flagged with this tool when digital payment is proposed to be made to such numbers.What is the 鈥淔inancial ..
