JSW Steel Raises $ 1 Billion Through Sustainability Bonds (SLB) Overseas Market Bonds; Stock Slides Nearly 2%
JSW Steel raised $ 1 billion by issuing Sustainability Bonds (SLBs) in the overseas market, becoming the “first steel company in the world to issue SLB in hard currency.” The bond issue consisted of two tranches of 5.5 years and 10.5 years, for an amount of $ 500 million each.
“..Raised a total of $ 1 billion in USD bond markets through a RegS / 144A issue, which was underwritten by high quality institutional investors in Asia, the Middle East, Europe and the States United, “JSW Steel said in a regulatory brief to the exchanges.
Seshagiri Rao, Joint Managing Director and Group CFO, JSW Steel, said the overwhelming response received by the SLB show was a testament to stakeholder confidence in JSW’s commitment to change mitigation. climate.
In the 10.5-year period, JSW Steel has committed to a target of 1.95 tonnes of CO per tonne of crude steel produced (tCO2 / tcs) by March 2030, a reduction of 23% compared to its 2020 levels.
JSW Steel will use the proceeds from the overseas bond issuance to fund its investment plans and refinance debt.
Sustainability bonds benefit both issuers and investors. These bonds provide investors with a platform to invest in socially responsible companies, while companies are encouraged to improve their ESG (environmental, social and governance) performance and diversify their source of long-term funding.
At 10:00, JSW Steel shares slipped 1.7% to Rs 678 on BSE against 0.45% increase in benchmarks.