Jindal Steel & Power (JSPL) is buzzing loud today. Opening over 1.5% higher at Rs.485, the stock rose over 3.5% to hit an intraday high at Rs.494 and is currently trading around Rs.492 levels. Its 52-week high is at Rs.501.60.
Jindal Steel & Power (Mauritius), a wholly-owned subsidiary of JSPL has prepaid a $357mn 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, JSPL has been able to reduce its overseas debt from $1.8bn to $130mn post this payment. The bulk of JSP's overseas debt now sits in its Australian subsidiary at $113mn.
The Group plans to repay this loan by September 22.
JSP Group’s net debt has come down from a peak of 46,500cr to 10,981cr in December 2021 and become net debt-free by FY23.
The company is planning to expand its steelmaking capacity to over 15 MTPA by 2025.