Jindal Steel -; Power prepays 357 million USD loan in its Mauritius entity; aims to Net debt-free by FY23; Stock up 2%

21 Mar 2022 , 09:35 AM

Jindal Steel & Power (Mauritius), a wholly-owned subsidiary of Jindal Steel & Power Limited (JSPL) has prepaid a US$357 million loan to its lenders. This prepayment will help clear the entire debt on JSPML. This loan had corporate guarantees from JSP India, which will also get released.

Over the past three years, JSP has been able to reduce its overseas debt from USD1.8 billion to USD130 million post this payment. The bulk of JSP’s overseas debt now sits in its Australian subsidiary (USD113 million). The Group plans to repay this loan by September 22. JSP Group’s net debt has come down from a peak of 46,500 crore to 10,981crore in December 2021.

At around 9.35 am, Jindal Steel & Power Ltd was trading at Rs488.70 per piece up by Rs11.8 or 2.47% from its previous closing of Rs476.90 per piece on the BSE.

“We are pre-paying our lenders to further strengthen our balance sheet and we want to become a net debt-free company by FY23 through accelerated deleveraging. The company is aligned with the India growth story. We will expand our steelmaking capacity to over 15 MTPA by 2025”, said. VR Sharma, Managing Director, JSP in a statement.