JSW Energy to launch 27 bln rupee IPO on Dec 7

MUMBAI (Reuters) - Power firm JSW Energy will launch its initial public offering (IPO) to raise 27 billion rupees on Dec 7, a top official of the JSW group, which owns India's third biggest steel maker JWS Steel, said on Monday.

"The price band will be declared on Dec 3," Sajjan Jindal, vice chairman of JSW group, told reporters, adding that the offer will close on Dec 9.

Three power firms - Adani Power, Indiabulls Power and state-run hydro play NHPC - have gone for listing on Indian bourses in 2009, and are at present trading below their issue price.

JSW Energy has current operational capacities worth 995 MW and is already in profit zone, Jindal asked.

"Getting anchor investors (for the IPO) is an option given by the SEBI and we may go for that," Chief Financial Officer Pramod Menon said. He did not provide details.

He said the firm has consolidated debt of 76.76 billion rupees and would use the proceeds from IPO for prepaying some of its debt as well as for the expansion.

FUTURE PLANS

JSW Energy plans to take its total capacities to 3,140 MW by December 2010 and expand it to 11,380 MW by 2015, S.S. Rao, joint managing director and chief executive of the firm, said.