This suggests a potential listing price of around Rs 166, which is approximately 12.24% higher than the upper end of the price band set at Rs 147. Such a significant GMP reflects robust investor interest and confidence in the company’s fundamentals ahead of its debut on the stock exchanges.
It is important to note, however, that GMP is an informal indicator based on unofficial market trading and does not guarantee actual listing performance. Nonetheless, the current premium highlights heightened demand and speculative enthusiasm, especially among retail investors.
JSW Cement IPO price band and subscription details
JSW Cement has fixed the price band of its Rs 3,600 crore initial public offering between Rs 139 and Rs 147 per share, with a face value of Rs 10.
The IPO will open for public subscription on Thursday, August 7, and will close on Monday, August 11. The anchor book is scheduled to open a day earlier, on Wednesday, August 6.
Retail investors can apply for the issue by bidding for a minimum of 102 equity shares and in multiples thereafter.
JSW Cement IPO structure
The IPO comprises a fresh issue of Rs 1,600 crore and an offer for sale (OFS) worth Rs 2,000 crore. The OFS portion will see existing shareholders including Apollo Management, Synergy Metals Investments Holding Ltd, and the State Bank of India (SBI) divest their holdings. Apollo Management, through its affiliate AP Asia Opportunistic Holdings Pte Ltd, will offload shares worth Rs 931.8 crore.
Synergy Metals, a private equity firm backed by former ArcelorMittal executive Sudhir Maheshwari, will sell shares valued at Rs 938.5 crore. Meanwhile, SBI plans to divest shares amounting to Rs 129.7 crore.
The IPO has been structured in a manner where 50% of the issue is reserved for qualified institutional buyers (QIBs), 15% for non-institutional investors (NIIs), and 35% for retail individual investors.
Use of IPO proceeds and expansion plans
According to the red herring prospectus, JSW Cement plans to use Rs 800 crore from the IPO proceeds to partially fund a new integrated cement plant in Nagaur, Rajasthan. Another Rs 520 crore will go toward the repayment or prepayment of outstanding borrowings, thereby strengthening the company’s balance sheet. The remaining proceeds are earmarked for general corporate purposes. Notably, the fresh issue size was revised downward from Rs 2,000 crore to Rs 1,600 crore, indicating a recalibrated capital requirement.
Key dates for JSW Cement IPO
The basis of allotment for the JSW Cement IPO is expected to be finalized on Tuesday, August 12, with refunds processed and demat credits expected by Wednesday, August 13. The stock is likely to make its debut on the BSE and NSE on Thursday, August 14, amid strong expectations of a premium listing supported by the prevailing GMP.
JSW Cement financial performance
Investor interest remains high despite a dip in profitability. JSW Cement reported a revenue of Rs 6,028 crore in FY24, up from Rs 5,837 crore in FY23, indicating a steady top-line growth.
However, the company’s net profit declined to Rs 62 crore in FY24, compared to Rs 104 crore in the previous fiscal. The firm continues to focus on capacity expansion and operational efficiency, which could support future earnings growth.
The strong grey market premium appears to be driven more by market sentiment and the company’s long-term growth potential, especially as it builds out its presence across India with strategic capacity additions.
About JSW Cement
JSW Cement, part of the JSW Group, is known for producing eco-friendly cement and maintaining a strong focus on sustainability and innovation in the construction sector. The company operates seven plants across India, including one integrated unit, one clinker unit, and five grinding units. Its facilities are located in Andhra Pradesh, Karnataka, Tamil Nadu, Maharashtra, West Bengal, and Odisha. It also owns a majority stake in Shiva Cement’s clinker unit in Odisha.
As of March 31, 2025, JSW Cement had a total installed grinding capacity of 20.60 million metric tonnes per annum (MMTPA), distributed across the southern (11.00 MMTPA), western (4.50 MMTPA), and eastern (5.10 MMTPA) regions.
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