Raising of long-term funds.
Awaiting price reaction for this filing.
The Board of JSW Steel has recommended a Final Dividend of Rs. 2.80 (280%) per equity share of Re. 1 face value for FY ended March 31, 2025, subject to shareholder approval at the 31st AGM on July 25, 2025, with record date set as July 8, 2025. The Board also approved raising up to Rs. 7,000 crores through issuance of Non-Convertible Debentures with warrants (convertible into equity) and up to another Rs. 7,000 crores via Equity Shares or convertible securities, all through a Qualified Institutions Placement (QIP) to institutional investors. Additionally, the Board approved issuance of Non-Convertible Debentures up to Rs. 5,000 crores via private placement or public issue to banks and financial institutions, for refinancing short-term loans, capex, and working capital needs. The Board also appointed M/s. S. Srinivasan & Co. as Secretarial Auditor for five years starting FY 2025-26.
The proposed fund raising of up to Rs. 19,000 crores (Rs. 14,000 crores via QIP plus Rs. 5,000 crores via NCDs) signals significant capital expenditure or refinancing plans, which may lead to equity dilution if the QIP route is exercised. The Rs. 2.80 dividend represents a modest yield at current market price levels, but confirms a consistent dividend payout. Shareholders should watch for the QIP pricing, which could influence short-term share price sentiment.