JSW Infra IPO to open on Sept 25; check price band, important dates and more

The initial public offering of JSW Infrastructure (JSW Infra) will open for bidding on Monday, September 25. The JSW Group entity is eyeing to sell its shares in the fixed price band of Rs 113-119 apiece The three-day bidding process will conclude on Wednesday, September 27.

JSW Infrastructure, incorporated in 2006, provides maritime-related services including, cargo handling, storage solutions and logistics services. The JSW Group company also develops and operates ports and port terminals under port concessions. JSW Infra is the second largest commercial port operator in the country in terms of cargo handling capacity in the financial year 2021-22.

The issue entirely consists of sale of fresh equity shares with a face value of Rs 2 each amounting to Rs 2,800 crore. Investors can make a bid for a minimum of 126 equity shares and its multiples thereafter. Anchor book for the issue will open on Friday, September 22.

The net proceeds from the issue shall be utilized towards prepayment or repayment fully or partially of certain borrowings of the company or its subsidiaries, financing capital expenditure in its various business objectives through subsidiaries and general corporate purposes.

JSW Infra ports and port terminals usually have long concession periods, between 30-50 years, providing the company with long-term visibility of revenue streams. The company currently handles various types of cargo, including dry bulk, break bulk, liquid bulk, gases and containers.

The company has a presence across India with non-major ports located in Maharashtra and port terminals located at major ports across the industrial regions of Goa and Karnataka on the west coast, and Odisha and Tamil Nadu on the east coast. JSW Infrastructure's international presence includes two terminals at Fujairah and Dibba in the UAE.

For the financial year ended on March 31, 20223, the company reported a net profit of 749.51 crore with a revenue from operations of Rs 3,372.85 crore. Its net profit came in at Rs 330.44 crore with a revenue of Rs 2,378.74 crore in the financial year ended in March 2022.

The company has reserved 75 per cent of the net offer for the qualified institutional bidders (QIBs), while non-institutional investors (NIIs) will get 15 per cent of the allocation. Remaining 10 per cent of the net issue will go to the retail investors.

Jm Financial, Axis Capital, Credit Suisse Securities (India), Dam Capital Advisors, HSBC Securities & Capital Markets, ICICI Securities, Kotak Mahindra Capital Company and SBI Capital Markets Limited are the book running lead managers to the issue, while Kfin Technologies has been appointed as the registrar for the issue.

Also Read | Indian Overseas Bank shares continue stellar show, zoom 46% in four sessions. Here are tech levels to watch

Also Read | SAMHI Hotels IPO fully subscribed on final day of bidding; QIBs lead bidding process