JSW Infrastructure has mobilised Rs 1,260 crore from anchor investors ahead of its initial public offering (IPO) which opens for subscription on Monday.
The JSW group firm announced that it has allocated 10.58 crore equity shares to 65 funds at Rs 119 per share. This is the upper end of the price band (Rs 113-119 per share) for the IPO which will close for subscription on September 27.
Some of the anchor investors who have been allotted shares include two marquee sovereign wealth funds of Singapore – GIC and Fullerton. Other well known foreign investors in the anchor book included Morgan Stanley and HSBC Global.
The anchor book also saw participation from domestic mutual funds such as SBI MF, ICICI Prudential Mutual Fund, HDFC Mutual Fund, Nippon MF, Birla MF, UTI MF and LIC MF.
Insurance firms SBI Life, Birla Life, Bajaj Allianz Life, Max Life, SBI General Insurance are among the anchor investors.
The IPO is entirely a fresh issue of equity shares worth Rs 2,800 crore. Investors can bid for a minimum of 126 equity shares and in multiples of 126 equity shares thereafter.
The company will use the proceeds to pay debt worth Rs 880 crore and fund an LPG terminal project of Rs 865.75 crore.
The company will set up an electric sub-station for Rs 59.4 crore, purchase and install a dredger for Rs 103.88 crore and invest
151.04 crore in the proposed expansion at Mangalore Container Terminal.
Some of the IPO proceeds will also be used for general corporate purposes.
JSW Infrastructure is a port-related infrastructure firm which received initial cargo from the JSW group as an anchor customer.
In addition to partnering JSW group customers, the company has diversified its customer base to include third-party entities across geographies and has expanded its cargo mix by leveraging its locational advantage and maximizing asset utilisation.
As on June 30, 2023, the company’s installed cargo handling capacity was 158.43 million tonnes (mt) annually.
Its operations have expanded from one port concession at Mormugao, Goa, which was acquired by the JSW group in 2002, where it commenced operations in 2004, to nine port concessions.
