JSW Steel to raise $500 mn from overseas market

JSW Steel to raise $500 mn from overseas market
PTI
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First Published: Tue, Jul 24 2007. 02 41 PM IST
Updated: Tue, Jul 24 2007. 02 41 PM IST
Mumbai: JSW Steel Ltd today said it will raise $500 million (about Rs2,013 crore) from overseas market through issue of securities.
The shareholders at the Annual General Meeting (AGM) have approved the proposal to raise the amount through the issue of Foreign Currency Convertible Bonds (FCCBs), Global Depository Receipts (GDRs) or other securities which would be converted into equity shares later, the steel manufacturer said in communique to the Bombay Stock Exchange.
The meeting also authorised the board of directors to raise another Rs1,000 crore through issue of equity shares or securities to Qualified Institutional Buyers (QIB) as permitted under the SEBI guidelines.
However, the company did not disclose the reason for raising the funds.
The company declared a dividend of 10% Cumulative Redeemable Preference Share (CRPS), that is, Rs1 per share of Rs10 each for the financial year 2006-07. It also approved an interim dividend at 125%, that is, Rs12.50 per equity shares of Rs10 each on the paid-up equity share capital for the year ended 31 March 2007.
The company has re-appointed Sajjan Jindal as Vice Chairman and Managing Director for a five-year period with effect from July 7.
Mumbai-based Chartered Accountant Deloitte Haskins & Sells has been re-appointed as auditors of the company to hold office from the conclusion of this AGM.
Shares of the company today jumped 2.1% and were last trading at Rs748 on the BSE.
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First Published: Tue, Jul 24 2007. 02 41 PM IST