Moody's Raises JSW Steel Issuer Rating to Baa3, Assigns Stable Outlook

MT Newswires Live
07/28

Moody's Ratings upgraded JSW Steel's (BOM:500228, NSE:JSWSTEEL) long-term issuer rating to Baa3 from Ba1 and assigned a stable outlook, according to a Monday press release.

The ratings agency cited the company's stronger credit profile following debt reduction and its position as India's largest steel producer with cost-competitive operations.

The ratings agency also upgraded JSW Steel's senior unsecured ratings to Baa3 from Ba1 and withdrew its Ba1 corporate family rating.

Moody's expects JSW Steel's debt-to-EBITDA ratio to improve to 2.0x to 2.5x over the next 12 to 18 months from 3.4x in fiscal 2025-26, supported by debt repayment using proceeds from the sale of a 50% stake in Bhushan Power & Steel.

The agency said the stable outlook reflects expectations that the company will continue to grow earnings while maintaining financial discipline as it expands capacity to meet rising steel demand in India.

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