The Board of Directors at its meeting held today has recommended Dividend.
Awaiting price reaction for this filing.
JSW Steel's Board has recommended a Final Dividend of Rs. 2.80 (280%) per equity share of Re. 1 face value for FY25, subject to shareholder approval at the AGM on July 25, 2025. The record date is July 8, 2025, and the dividend will be paid within 30 days of the AGM. The Board also approved raising long-term funds of up to Rs. 7,000 crores via a Qualified Institutions Placement (QIP), which could include NCDs with warrants convertible into equity shares, plus an additional Rs. 5,000 crores through Non-Convertible Debentures from banks and financial institutions. Additionally, M/s. S. Srinivasan & Co. has been appointed as the new Secretarial Auditor for a five-year term starting FY 2025-26. The funds raised will be used to replace short-maturity loans, meet working capital needs, fund capital expenditure, and for general corporate purposes.
Shareholders will receive a Rs. 2.80 per share dividend, though the yield appears modest relative to JSW Steel's share price. The large QIP and NCD issuance plans (up to Rs. 12,000 crores combined) could lead to equity dilution and increased debt, potentially weighing on the stock in the short term as it signals a significant capital raise.