Jindal Steel jumps after Mauritius unit prepays $357 mln loan

21 Mar 2022 , 10:45 AM

The company said that this prepayment will help clear the entire debt on Jindal Steel & Power (Mauritius) (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 $1.8 billion to $130 million post this payment. The bulk of JSPs overseas debt now sits in its Australian subsidiary ($113 million). The group plans to repay this loan by September 2022. JSPL aims to become net debt-free by FY23.

JSP Groups net debt has come down from a peak of 46,500 crore to 10,981 crore in December 2021.

?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 V R Sharma, managing director, JSP in a statement.

JSPL is a leading Indian infrastructure conglomerate with a presence in the steel, power, and mining sectors.

On a consolidated basis, net profit of JSPL declined 28.30% to Rs 1616.67 crore on 35.08% rise in net sales to Rs 12544.15 crore in Q3 December 2021 over Q3 December 2020.

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