In its endeavour to completely pay off its overseas debt, the JSPL through its step-down subsidiary, Jindal Steel & Power (Australia) Pty Ltd, has made a pre-payment of $ 105.66 million (approx. Rs. 777.4 cr). According to the steel giant, the prepayment has helped reduce the Australian debt by approx. 50%.
The company’s Net Debt/EBITDA on a consolidated basis was reported at 0.96x while Standalone Net Debt/EBITDA was approx. 0.7x as of June quarter which is expected to go down further this quarter.
The JSPL has been working with an undeviating focus on net debt reduction of more than Rs.31,306 crores from a peak of approx. Rs.46,533 cr in 3QFY17 to Rs.15,227 cr as reported in Q1FY22. The company is also focussing on maintaining minimum levels of liquidity on its balance sheet at all times.
JSPL Managing Director VR Sharma said, “We are paying back to lenders before time in order to strengthen our balance sheet. The company is aligned with the India growth story and we want to become a net debt-free company by FY23 through accelerated deleveraging. We will expand our Steelmaking capacity in Angul to more than 12 MTPA by 2025 through internal accruals.”
About JSPL:
JSPL is a leading Indian Infrastructure Conglomerate with a presence in the Steel, Power, and Mining sectors. With an investment of approximately 12 billion USD (90,000 Crore Rupees) across the globe, the Company is continuously scaling its capacity utilization and efficiencies to contribute towards building a self-reliant India.
