Jindal Power, a wholly-owned subsidiary of steel maker JSPL, is planning to launch an initial public offer (IPO) this financial year to part finance the expansion programme of the parent firm.
"Jindal Power will be listed through an IPO. The management is working on this and the company will be listed in this financial year," Jindal Power Deputy Managing Director Sushil Maru told PTI over phone.
Maru, who is also the whole-time director of Jindal Steel and Power (JSPL), said that the power unit would look at offloading 10 per cent of its equity in the capital market.
Earlier in the day, JSPL Director Finance Ashok Alladi said in an interview to a private broadcaster that listing of Jindal Power is aimed at partially funding the Rs 20,000-crore expansion programme of the parent entity.
JSPL, at present, has an annual production capacity of 3 million tonnes. The company is working to set up new mills in Jharkhand and Orissa, apart from expanding the capacity of its Orissa plant to take the production capacity to 18 million tonnes per annum.
Jindal Power commissioned a 1,000 Mw-power plant in Chhattisgarh last year. JPL would expand its capacity to 2,400 Mw in the next few years and JSPL would augment the captive power base to 1,350 Mw.