JSW Steel gains 6% on fund raising plan

The stock slipped from the day's high and finally ended up 6.5% at Rs 550. The counter witnessed heavy trade volumes of 2.67 million shares.
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(Updated at 1427 hrs)

JSW Steel has zoomed 14% on plans of raising $1 billion to fund its expansion and reduce debt.

The stock opened at Rs 519 and slipped to a low of Rs 510. It soon gained strength and soared to a high of Rs 596, up 17% from the day's low. The stock is currently trading up 14% at Rs 589. The counter has clocked heavy trading volumes of 1.86 million shares.

The company has informed the BSE that it plans to raise $1 billion (Rs 4,767 crore) to part finance the company's capex and for other general corporate purposes including reducing the leverage. They will raise the  additional long term resources through issuance of qualified institutional placement, foreign currency convertible bonds, GDRs, ADRs, warrants or equity shares.