JSW Cement's IPO Put On Hold By SEBI

The Securities and Exchange Board of India (Sebi) has put on hold the proposed Rs 4,000-crore initial public offering (IPO) of JSW Cement. Sebi did not gave specific reasons for this action, merely stating that the "issuance of observations (has been) kept in abeyance," as noted in an update on its website.

JSW Cement, a subsidiary of the JSW Group, submitted its preliminary IPO documents to Sebi on August 16. The proposed IPO consists of a new equity share issue valued at Rs 2,000 crore and an offer-for-sale (OFS) of Rs 2,000 crore by existing shareholders, according to the draft red herring prospectus (DRHP).

JSW Cement, which currently has an annual production capacity of 19 million tonnes, aims to expand to 60 million tonnes per annum. Its existing facilities are located in Vijayanagar (Karnataka), Nandyal (Andhra Pradesh), Salboni (West Bengal), Jajpur (Odisha), and Dolvi (Maharashtra). Additionally, through its subsidiary Shiva Cement, it operates a clinker unit in Odisha.

The JSW Group has diversified interests in steel, energy, maritime infrastructure, defence, B2B e-commerce, real estate, paints, sports, and venture capital.

The IPO process is being managed by JM Financial Ltd, Axis Capital Ltd, Citigroup Global Markets India Private Ltd, DAM Capital Advisors Ltd, Goldman Sachs (India) Securities Private Ltd, Jefferies India Private Ltd, Kotak Mahindra Capital Company Ltd, and SBI Capital Markets Ltd.