JSW Energy raises Rs 5,000 crore in landmark QIP to accelerate growth and transform the power sector

In a significant development in the Indian power sector, JSW Energy Limited has successfully completed a massive fundraising effort, securing Rs 5,000 crore through a Qualified Institutions Placement (QIP). This landmark financial move, aimed at accelerating the company’s growth trajectory, saw the participation of some of the world’s most prominent institutional investors, including the Abu Dhabi Investment Authority (ADIA).

The company, a key player in India’s power production arena, announced late Friday that the QIP was oversubscribed by more than 3.2 times, attracting strong interest from renowned global asset managers like GQG, Blackrock, Nomura, Wellington, UBS, and ADIA. This fundraising marks JSW Energy’s first equity raise since it went public in 2010, underscoring its momentous achievement as the largest primary equity raise in the Indian power sector over the past decade and ranking among the top three in the sector’s history.

Sharad Mahendra, the joint managing director and CEO of JSW Energy, highlighted the strong investor confidence in the company, attributing it to India’s robust investment cycle-driven economic growth and the promising outlook for power demand. He emphasized JSW Energy’s role in actively transforming the energy sector and its commitment to leading industry innovation, particularly in the generation and storage businesses, with potential expansions into green hydrogen.

JSW Energy, part of the diversified USD 23-billion JSW Group, has established itself as a leading private sector power producer in India. With a diversified portfolio that spans thermal, wind, hydel, and solar power generation and transmission, the company has grown its capacity significantly since its inception in 2000. Presently, JSW Energy is advancing on various power projects totaling 2.6 GW, reinforcing its position at the forefront of India’s journey towards achieving net-zero emissions by 2070.