The Securities and Exchange Board of India (Sebi) has temporarily halted JSW Cement planned ₹4,000-crore initial public offering (IPO). The regulator did not provide specific reasons but noted that the “issuance of observations has been kept in abeyance,” according to an update on its website on Monday.
JSW Cement, a part of the diversified JSW Group, submitted its draft IPO papers to Sebi on August 16. The proposed IPO includes a fresh issue of equity shares worth ₹2,000 crore and an offer-for-sale (OFS) of shares amounting to ₹2,000 crore by existing investors, as outlined in the draft red herring prospectus (DRHP).
Under the OFS, AP Asia Opportunistic Holdings Pte. Ltd and Synergy Metals Investments Holding Ltd are set to offload shares worth ₹937.5 crore each, while the State Bank of India (SBI) plans to divest shares valued at ₹125 crore.
JSW Cement operates manufacturing facilities in several states, including Karnataka, Andhra Pradesh, West Bengal, Odisha, and Maharashtra. Additionally, through its subsidiary Shiva Cement, the company runs a clinker unit in Odisha. The broader JSW Group has diversified interests across various sectors, including steel, energy, maritime infrastructure, defense, B2B e-commerce, real estate, paints, sports, and venture capital.
The IPO process is being managed by a consortium of financial institutions, including JM Financial Ltd, Axis Capital Ltd, Citigroup Global Markets India Private Ltd, DAM Capital Advisors Ltd, Goldman Sachs (India) Securities Private Ltd, Jefferies India Private Ltd, Kotak Mahindra Capital Company Ltd, and SBI Capital Markets Ltd.
