JSW Infra likely to consider QIP, FPO to dilute promoters' stake

JSW Infra considers stake dilution via QIP and FPO to meet Sebi's minimum public shareholding norms as promoter group holds over 85 per cent in the company

Sajjan Jindal-owned JSW Infrastructure (JSW Infra) may evaluate options such as qualified institutional placement (QIP) and follow-on public offering (FPO) to dilute the promoter’s stake in the company in line with Securities and Exchange Board of India (Sebi) norms.

 

Sajjan Jindal, chairman, non-executive director, and individual promoter of JSW Infra, said at the company’s annual general meeting on Tuesday: ‘We will evaluate options, including qualified institutional placement and follow-on public offering, based on the capital expenditure requirements, prevailing market conditions, and in alignment with the long-term interest of the shareholders.’

 

According to Sebi’s Minimum Public Shareholding (MPS) norms, listed Indian entities must maintain at least 25 per cent public shareholding, meaning promoters cannot hold more than 75 per cent of a company’s shares.

 

JSW Infra, listed in October 2023, must reduce the promoters' stake to 75 per cent by September 2026—within three years of listing, as permitted by the regulator for newly listed entities.

 

As of 31 March 2025, the Sajjan Jindal Family Trust—part of the promoter group—held an 80.72 per cent stake in the company, according to stock exchange data. Overall, promoters held an 85.62 per cent stake.

 

In May, the company announced that the promoter group, represented by Sajjan Jindal and Sangita Jindal, planned to sell up to 2 per cent of its stake via open market transactions between 13 May 2025 and 31 March 2026. 

 

Also in May, the Government of Singapore acquired a 0.88 per cent stake in JSW Infra for ₹531 crore from the Sajjan Jindal Family Trust. The floor price for the transaction was ₹288 per share.

 

The company aims to expand its total capacity to 400 million tonnes per annum (mtpa) by FY30 or earlier, with a capex plan of ₹30,000 crore for ports and ₹9,000 crore for the logistics business between FY25 and FY30. As of FY25, its cargo handling capacity stood at 177 mtpa.

 

‘The (expansion) plan encompasses the development of three brand new greenfield ports, brownfield expansion at existing ports and terminals, and other growth projects within the stipulated time and budget,’ Jindal said.

 

In FY25, the company’s revenue rose nearly 19 per cent year-on-year (YoY) to ₹4,476.14 crore, while profit grew 30.03 per cent YoY to ₹1,503.1 crore. The company handled 117 million tonnes of cargo during the year, up 9 per cent YoY, meeting its annual guidance of 116–117 million tonnes.

 

‘At JSW Infrastructure, we look forward to an exciting financial year 2026 and remain set for strong growth and margin expansions,’ Jindal said.

 

For FY26, the company has planned a capex of ₹4,000 crore for ports and ₹1,500 crore for logistics. It is targeting 10 per cent growth in port volumes and 50 per cent growth in logistics revenue during the year.

 

‘In the years to come, we will continue working on projects that align with building and scaling the pan-India network to deliver unmatched and unparalleled efficiency in the logistics sector. Moreover, privatisation bids for terminals and berths in major ports, along with inorganic opportunities in ports and port-related infrastructure, are additional levers to accelerate growth,’ Jindal added.

 

Jindal also said that government initiatives such as PM Gati Shakti, Maritime Amrit Kaal Vision 2047, the Sagarmala Programme, and the National Logistics Portal have helped modernise logistics and port infrastructure across India.

 

JSW Infrastructure shares closed at ₹310.05 on the Bombay Stock Exchange on 15 July, valuing the company at around ₹65,110.55 crore.