India’s JSW Group is looking to raise ₹7,000 crore (approximately $790 million) through the issuance of zero-coupon bonds before the end of September to finance an acquisition, as reported by three merchant bankers on Thursday.
JTPM Metal Traders, a holding company within JSW Group, will carry out the bond issuance, which will mature in four years and seven months. Bidding for the bonds is scheduled to open on Monday. The bonds will yield 8.50 percent and include put and call options after three years.
The proceeds will primarily support the acquisition of up to a 75 percent stake in the Indian subsidiary of Dutch paint maker Akzo Nobel, a deal that received approval from the Competition Commission of India last week, according to Reuters.
JSW Group did not respond to a request for comments from Reuters, and the bankers chose to remain anonymous, citing lack of authorization to speak to the media.
The trend of Indian companies increasingly turning to the bond market for acquisition funding continues, spurred by strong demand from mutual funds and other investors. According to the bankers, eight major mutual funds, among others, are expected to act as anchor investors in the JSW bond issuance, contributing around ₹2,100 crore.
The bonds have received an AA rating from Crisil and Care Ratings. Crisil states that the funds raised might also be utilized for capital infusion into operating companies within the group or for refinancing existing debts.
Published on September 25, 2025.
