Infrastructure News

JSW Infra shares jump over 8% on winning Rs 4,119 crore project, ET Infra


Shares of JSW Infrastructure, the ports unit of Sajjan Jindal-led JSW Group, jumped 8.5% to Rs 220 in Friday’s trade on BSE after the company emerged as the winning bidder for the development of all-weather, deep-water, greenfield port at Keni in Karnataka on Public Private Partnership basis.

“The Karnataka Maritime Board, Government of Karnataka has issued the Letter of Award (LOA) to JSW Infrastructure. As per the RFP document, the estimated cost of the Project is Rs 4,119 crore with an initial capacity of 30 MTPA,” the company said in an exchange filing.

Arun Maheshwari, Joint MD and CEO of JSW Infrastructure, said, “Through the development of this greenfield port, we are partnering Karnataka Government’s mission to meet the logistics demand of a rapidly growing State and the region’s economy. Once developed, the Keni port is expected to crucially address the rising import and export trade momentum of the region.”

The proposed Keni Port would have modern environment-friendly mechanised facilities for handling of cape-size vessels. It is envisaged as an all-weather, greenfield, multi-cargo, direct berthing, deep-water commercial port for handling all types of cargoes on the west coast in North Karnataka region to serve the industries in the area covering Bellary, Hosapete, Hubballi, Kalaburagi and South Maharashtra.

At 10.48 a.m., the scrip was trading 5.2% higher at Rs 213.4 on BSE. From its IPO listing price of Rs 143, the stock has rallied nearly 50%. JSW Infrastructure IPO listed on the exchanges at a premium of 20% on October 3, 2023.

The proposed Keni Port is located strategically between two operational Major Ports viz. Mormugao Port in the north and New Mangalore Port in the south. The proposed port’s hinterland is primarily of coal and coke cargo which is being utilized for steel, cement and power plants.

It is also further supported by Iron ore, limestone, dolomite handlings and the export of finished steel products. Rail connectivity to the Keni Port site is proposed to be in the southern side and will be connected with the existing Konkan line to the north of the Ankola Station. The proposed railway alignment will be developed with a total length of approximately 8 km. The proposed port shall be well connected with Road and Railway Connectivity.

Technically, the stock’s day RSI (14) is at 66.9. The RSI below 30 is considered oversold and above 70 is overbought, Trendlyne data showed. JSW Infrastructure stock stands higher than the 5 day, 10 day, 20 day, and 30-day simple moving averages (SMAs).

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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)

  • Published On Nov 20, 2023 at 01:31 PM IST

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