JSW Cement gears up for initial public offer, likely to hit market by July

JSW Cement has made preparations for a promotional roadshow for its forthcoming initial public offering (IPO), which is likely to hit the stock market in July 2025, according to market sources.

The listing is expected to enable JSW Cement to strengthen its financial position and compete more effectively in an increasingly competitive market led by UltraTech Cement Ltd and the Adani Group.

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JSW Cement has engaged with institutional investors to assess interest and valuation, to enable the company to raise around Rs 4,000 crore from investors.

Talks are in progress about details like the timing and size of the issue, which could be revised, sources said. However, a spokesperson for JSW Cement did not reply to a request for a comment, neither confirming nor denying the development.

According to JSW Cement’s draft red herring prospectus (DRHP) filed in August 2024, the company plans to use proceeds from its future IPOs to fund a new cement plant in Nagaur, in the northwestern part of Rajasthan, as well as repay borrowings.

JSW Cement’s Nagaur cement facility will include a clinkerisation unit of up to 3.30 MTPA, a grinding unit of up to 2.50 MTPA, and an 18 MW waste heat recovery-based power plant. The investment also includes an approximately 7-km-long Overland Belt Conveyor to transport limestone from the mines to the manufacturing plant, as well as arrangements to use alternative fuel in the kiln.

The company had stated earlier that its proposed investment in the plant will be funded through a mix of equity and long-term debt.

It may be recalled that JSW Cement had received a nod from the Securities and Exchange Board of India (SEBI) to raise Rs 4,000 crore through an initial public offering in January 2025.

The Sajjan Jindal-promoted company had filed listing documents with the stock market regulator SEBI on August 16, 2024.