JSW Steel’s finance committee, has decided to avail an external commercial borrowing (ECB) of $275 million which includes a green shoe option of $75 million at an interest rate of $ Libor+ 4% per annum. The company for this has entered into an indicative, non-binding term sheet with an arranger for the ECB. The term of the ECB is 5 years plus 1 day from the date of draw down.
The company would be utilizing the ECB either for buyback of outstanding foreign currency convertible bonds, redemption of outstanding foreign currency convertible bonds or capital expenditure. JSW Steel’s finance committee at their meeting held on February 20, 2012, decided to avail an ECB.
The company reported consolidated net loss of Rs 47.89 crore for the third quarter ended in December due to forex losses, higher raw material costs and the hit taken by group firm JSW Ispat Steel. The company reported a consolidated net profit of Rs 291.72 crore during the October-December quarter in 2010-11. The company’s net sales, however, rose 41% to Rs 8,404.66 crore during Q3 FY12, due to higher revenues from the steel business.
Company Name | CMP |
---|---|
Tata Steel | 127.00 |
JSW Steel | 905.85 |
SAIL | 105.95 |
Jindal Stainless | 626.05 |
Jindal Saw | 245.05 |
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