Steel and Iron Products manufacturer jumped 3 percent in the day’s trade after the company’s board of directors approved to raise funds of up to Rs. 3,200 Crores by issuing NCDs.
At 3:22 p.m. the shares of Jayaswal Neco Industries Limited were trading at Rs. 45.35 up, 3.07 percent from its previous day’s close price of Rs. 44 and its market capitalization is Rs. 4,403.48 Crores.
The board of directors of Jayaswal Neco Industries Limited has approved the issue of up to 3,20,000 Unlisted, Secured, Redeemable, Non-Convertible Debentures (NCDs) having a face value of Rs.1,00,000 aggregating to Rs. 3,200 Crores through private placement. The NCDs have an interest rate of 14.50 percent per annum with an additional coupon rate of 3 percent.
Jayaswal Neco Industries Limited is engaged in the manufacturing and supply of billets, rolled products, pig iron & skull, sponge iron, pellet, steel, and Iron & steel castings. It has a Global presence all over India and 8 foreign countries, with 5 manufacturing units and 2 major iron ore mines.
In FY23, the company’s revenue from operations grew 6.45 percent from Rs. 5,958.55 Crores in FY22 to Rs. 6,342.86 Crores in FY23, accompanied by profits of Rs. 2,247.29 Crores to Rs. 226.87 Crores.
As per the segmental revenue breakup, it generated 44 percent of its revenue from Automotive Castings, 30 percent from Centricast, 17 percent from Engineering Castings, and 9 percent from Construction Castings.
It has reported a return on equity (ROE) of 11.66 percent and a return on capital employed (ROCE) of 8.75 percent, it is making decent returns on its equity and capital employed
Written by: Bharath K.S
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