JSW Steel on Friday said its board has approved plans to raise funds up to Rs 17,000 crore through the issuance of various securities and tap the international markets to mop up USD 1 billion.According to a regulatory filing, an amount totalling Rs 17,000 crore is proposed to be raised through the issuance of convertible securities and non-convertible debentures (NCDs), among other instruments.
Besides, the board has approved a proposal to raise USD 1 billion through the issuance of non-convertible senior unsecured fixed-rate bonds in the international markets, JSW Steel said.With respect to the plan to mop up Rs 14,000 crore through issuance of non-convertible debentures and convertible securities, the company said, it had obtained shareholders’ approval in July 2022.
“The enabling resolution was not acted upon within the stipulated period of one year. Therefore, in order to validate the said resolution, a fresh approval is being sought from the shareholders at the ensuing Annual General Meeting,” the filing said.The board also approved raising of Rs 3,000 crore through the issuance of secured/unsecured, redeemable, NCDs not exceeding Rs 3,000 crore, by way of private placement and/or by way of public issuance, in one or more tranches, in the domestic market.
The company has plans to use the proceeds to replace short-maturity loans, meet long-term working capital requirements, capital expenditure/ reimbursement of capex already incurred and/ or for general corporate purposes.
