The IPO comprises a fresh issue of shares worth up to Rs 2,000 crore and an offer for sale (OFS) of up to Rs 2,000 crore by existing investor shareholders.
In the public issue, around 50% is reserved for qualified institutional buyers (QIBs), 15% for non-institutional investors (NIIs), and the remaining 35% for retail investors.
The net proceeds from the IPO will be used to partly finance the proposed cement unit in Nagaur, repay debt, and for general corporate purposes.
JSW Cement is a domestic cement manufacturer focused on producing green cementitious products, including blended cement, Portland composite cement, and ground granulated blast furnace slag (GGBS).
It also manufactures ordinary Portland cement (OPC), clinker, and a range of allied cementitious products such as ready-mix concrete (RMC), screened slag, construction chemicals, and waterproofing compounds.India’s industrial and commercial building sector is projected to grow at a CAGR of 6-7% between FY24 and FY29.Additionally, Indian cement demand is expected to grow at a healthy 6.5-7.5% CAGR from FY25-29. The RMC industry is forecast to grow at a CAGR of 10–12% over FY24–29, which will drive demand for blended cement, GGBS, OPC, clinker, and related products.
In FY24, JSW Cement’s revenue from operations rose to Rs 6,028 crore from Rs 5,837 crore in the previous year. However, net profit declined to Rs 62 crore from Rs 104 crore a year earlier.
JM Financial, Axis Capital, Citigroup, and Kotak Investment Banking are among the book-running lead managers for the IPO.