JSW Energy shares close 5% higher as firm raises Rs 5,000 crore via QIP

Shares of JSW Energy Ltd hit a record high on Monday after the energy major said it has raised Rs 5,000 crore via a qualified institutional placement (QIP). The proceeds from the QIP will be used to fund expansion plans. JSW Energy stock climbed 5.63% intraday to Rs 632.35 against the previous close of Rs 598.90 on BSE. Market cap of the firm rose to Rs 1.03 lakh crore. Later, the stock ended 4.87% higher at Rs 628.05.

The power sector stock has rallied 149 per cent in a year and gained 53.16 per cent in 2024.

Total 2.92 lakh shares of the firm changed hands amounting to a turnover of Rs 17.99 crore on BSE. Market cap of the firm rose to Rs 1.03 lakh crore.

The stock fell to a 52 week low of Rs 240 on May 24, 2023. In the last three years, the stock has delivered 610% returns.

“We wish to inform you that, in respect of the Issue which opened on 2nd April, 2024 and closed on 5th April, 2024, the Finance Committee of the Board at its meeting held today, i.e., 5th April, 2024, approved the issue and allotment of 10,30,92,783 Equity Shares to 97 qualified institutional buyers at the issue price of Rs 485 per equity share, (which includes a discount of Rs 25.09 per Equity Share (4.92% of the floor price, as determined in terms of the SEBI ICDR Regulations) to the floor price, i.e. at a premium of Rs 475 per Equity Share, aggregating to Rs 49,99,99,99,755 (Rupees Four Thousand Nine Hundred Ninety Nine Crores Ninety Nine Lakhs Ninety Nine Thousand Seven Hundred Fifty Five), pursuant to the Issue,” said the firm in a communication to bourses.

The QIP was open from April 2 to April 5, 2024.  The issue price of the QIP was Rs 485 per equity share.

In terms of technicals, the relative strength index (RSI) of JSW Energy stands at 74, signaling it's trading in the overbought zone. JSW Energy stock has a one-year beta of 0.4, indicating low volatility during the period. JSW Energy shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.