"JSW Energy Secures ₹5,000 Crore Investment from Abu Dhabi Investment Authority and Other Investors"

JSW Energy Limited has successfully secured ₹5,000 crore through the sale of shares to institutional investors, a move aimed at propelling its growth strategies.

Announcing the achievement in a regulatory filing on Friday, the company revealed the completion of its ₹5,000-crore Qualified Institutions Placement (QIP).

The funds garnered from the QIP are earmarked to fortify the company's capital structure, enhance financial flexibility, and expedite its ambitious expansion plans, JSW Energy highlighted.

Stating the overwhelming response received, the company mentioned, "The issue garnered a very strong interest from marquee global long-only investors, domestic mutual funds, and insurance companies."

The QIP witnessed a subscription rate of over 3.2 times, with notable global asset managers such as GQG, Blackrock, Nomura, Wellington, UBS, and Abu Dhabi Investment Authority (ADIA) participating in the offering.

"This marks the first-ever equity raise by the company since its listing in 2010," JSW Energy stated, emphasizing the significance of the achievement.

The successful placement is hailed as the largest primary equity raise in the Indian power sector in the past decade and ranks among the top three largest primary equity raises in the history of the Indian power sector.

Sharad Mahendra, joint managing director and CEO of JSW Energy, expressed optimism regarding India's investment-driven economic growth momentum and the resulting surge in power demand. He underlined the institutional investor community's confidence in the company's diversified energy transition platform, which includes plans for growth in both generation and storage businesses, with a focus on green hydrogen and its derivatives.

Mahendra asserted, "At JSW Energy, we are not just witnessing the transformation of the energy sector, we are actively shaping it, setting new benchmarks for industry leadership, and aiding India's journey towards net-zero targets by 2070."

Jefferies India Private Limited served as the sole book running lead manager for the QIP, with legal counsel provided by Khaitan & Co. for the company, and Shardul Amarchand Mangaldas & Co. and Linklaters Singapore Pte. Ltd. acting as counsels to the book running lead manager.

JSW Energy Limited, a part of the renowned JSW Group with diversified interests spanning steel, energy, infrastructure, cement, and sports, has steadily expanded its power generation capacity since commencing operations in 2000. Presently, the company boasts a diverse portfolio comprising thermal, wind, hydel, and solar power assets, with ongoing projects aimed at further enhancing its generation capacity and energy storage capabilities. The company aims to achieve a generation capacity of 20 GW and 40 GWh of energy storage capacity by 2030, with a target of carbon neutrality by 2050.

HBL