JSW Energy shares end 5% higher, largest single-day gain since March; here’s why
The company plans to raise up to Rs 10,000 crore in one or more tranches through Qualified Institutions Placement (QIP) or other eligible securities.
- Dec 12, 2025,
- Updated Dec 12, 2025 4:46 PM IST
On Friday, shares of JSW Energy closed 5.30 per cent higher at Rs 482.05 on BSE. This marks the largest single-day gain since March 5, 2025, when the counter closed 5.74 per cent higher. While the stock remains down nearly 25 per cent on a year-to-date basis, Friday’s surge was fuelled by a fundraising plan announcement and a long-term revenue deal in Karnataka.
A sentiment booster came from the company’s subsidiary, JSW Energy (Utkal) Limited. The arm has inked a Power Purchase Agreement (PPA) with multiple Karnataka DISCOMs for the supply of 400 MW of power. The 25-year agreement, effective from April 1, 2026, locks in a tariff of Rs 5.78 per kWh.
This deal reduces the company's ‘open capacity’—power capacity without long-term buyers—from 8 per cent down to roughly 5 per cent of its operational portfolio. This move significantly de-risks their generation assets and provides clearer revenue visibility for the next two and a half decades.
Adding fuel to the fire, the Board has approved a massive fundraising exercise. The company plans to raise up to Rs 10,000 crore in one or more tranches through Qualified Institutions Placement (QIP) or other eligible securities.
The Board approved a preferential issue of equity shares and warrants to JTPM Metal Traders Limited, a significant promoter group entity. The deal involves issuing over 95 lakh equity shares and 4.76 crore warrants at a price of Rs 525 per share—a premium over Friday's market closing price. This willingness by the promoters to inject fresh capital at a premium likely signaled to the street that the current valuation might be attractive.
In a simultaneous move to strengthen its leadership bench, the company announced the appointment of Chandrasekaran Prabhakaran as the new Chief Financial Officer (CFO). A seasoned finance leader currently serving as Deputy CFO at JSW Steel, Prabhakaran will take charge on January 1, 2026, following the resignation of the previous finance head.
On Friday, shares of JSW Energy closed 5.30 per cent higher at Rs 482.05 on BSE. This marks the largest single-day gain since March 5, 2025, when the counter closed 5.74 per cent higher. While the stock remains down nearly 25 per cent on a year-to-date basis, Friday’s surge was fuelled by a fundraising plan announcement and a long-term revenue deal in Karnataka.
A sentiment booster came from the company’s subsidiary, JSW Energy (Utkal) Limited. The arm has inked a Power Purchase Agreement (PPA) with multiple Karnataka DISCOMs for the supply of 400 MW of power. The 25-year agreement, effective from April 1, 2026, locks in a tariff of Rs 5.78 per kWh.
This deal reduces the company's ‘open capacity’—power capacity without long-term buyers—from 8 per cent down to roughly 5 per cent of its operational portfolio. This move significantly de-risks their generation assets and provides clearer revenue visibility for the next two and a half decades.
Adding fuel to the fire, the Board has approved a massive fundraising exercise. The company plans to raise up to Rs 10,000 crore in one or more tranches through Qualified Institutions Placement (QIP) or other eligible securities.
The Board approved a preferential issue of equity shares and warrants to JTPM Metal Traders Limited, a significant promoter group entity. The deal involves issuing over 95 lakh equity shares and 4.76 crore warrants at a price of Rs 525 per share—a premium over Friday's market closing price. This willingness by the promoters to inject fresh capital at a premium likely signaled to the street that the current valuation might be attractive.
In a simultaneous move to strengthen its leadership bench, the company announced the appointment of Chandrasekaran Prabhakaran as the new Chief Financial Officer (CFO). A seasoned finance leader currently serving as Deputy CFO at JSW Steel, Prabhakaran will take charge on January 1, 2026, following the resignation of the previous finance head.