Stocks of JSW Energy Ltd fell 5% despite completing a Rs 5,000 crore Qualified Institutions Placement (QIP). This is the first time the Company has raised equity since its listing in 2010. The QIP received strong interest from top global investors, mutual funds, and insurance companies. They were confident in India’s power sector outlook and the Company’s leading position in the Indian power sector.

The QIP is a significant achievement as it is the largest primary equity raise in the Indian power sector in the last ten years. Further, one of the top three in the history of the Indian power sector. Moreover, 3.2 times over subscriptions were recorded. This was with the participation of large global asset managers. Namely, GQG, Blackrock, Nomura, Wellington, UBS, and the Abu Dhabi Investment Authority (ADIA).

These investors trust the Company’s long-term growth prospects, reflecting their confidence in its future success.

JSW Energy’s CEO, Sharad Mahendra, believes India’s strong investment-driven economic growth momentum is good for power demand. Institutional investors are confident in JSW’s diversified energy transition platform, which includes generation, storage and green hydrogen. JSW Energy is setting new industry benchmarks and helping India reach net-zero targets by 2070.

JSW Energy’s Director (Finance) and CFO, Pritesh Vinay, expressed gratitude to high-quality institutional investors. This was for their response to a successful Rs 5,000 Crore growth capital raise. This validates JSW Energy’s position as a company with proven execution capability to build large-scale projects at competitive costs, operational excellence, and a strong pipeline of returns-accretive growth projects. The QIP proceeds will strengthen the capital structure, enhance financial flexibility, and enable JSW Energy to accelerate ambitious growth plans.

JSW Energy generates electricity from wind, thermal and hydro sources and has a total capacity of 12.5 GW. They plan to increase their generation capacity to 20 GW and energy storage capacity to 40 GWh by 2030. The Company aims to achieve carbon neutrality by 2050.

At 3:30 pm, the shares of JSW Energy closed 1.88% lower at Rs 615.70 on NSE.