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Hindalco plans to raise Rs 3k cr via equity sale

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Press Trust of India Mumbai
Last Updated : Jan 21 2013 | 12:29 AM IST

Aditya Birla group flagship company, Hindalco is planning to raise around Rs 3,000 crore through an equity sale to part fund its ongoing projects.

Hindalco Chief Financial Officer S Talukdar said the company plans to raise the fund either through qualified institutional placement (QIP) or through sale of shares in overseas markets through the global depository receipts (GDR) route.

He, however, did not specify timelines for raising the fund. The company has a capital expenditure plan of Rs 23,000 crore over the next three years, 70 per cent of which it plans to fund through debt.

Rest of the financial requirement would be met by equity infusion and internal accruals, Talukdar said.

Currently, expansion projects of the company are on track and production from new projects is expected to start by FY11, Hindalco Managing Director Debu Bhattacharya said.

"Production of alumina from Utkal Alumina refinery is expected to start around July 2011. The construction of 1.5 million TPA greenfield project at Rayagada, Orissa is in full swing," he said.

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The first metal from the smelter of the Mahan Aluminium project in Madhya Pradesh would also roll out by July 2011. It has a capacity of 3,59,000 TPA, Bhattacharya said, adding a captive 900 Mw power plant is also coming up at Bargwan in Chhattisgarh.

"Our Aditya Aluminium Project's first metal from the smelter (in Orissa) is slated for October 2011. The refinery would be mechanically completed by June 2013.

Hindalco's integrated aluminium project, Aditya Aluminium is coming up in Orissa, with a 1.5 million TPA alumina refinery, 3,59,000 TPA aluminium smelter and 900 MW captive power plant. Orders have been placed for both the smelter and the power plant, Bhattacharya said.

The first metal from the smelter of the Jharkhand Aluminium Project is also expected by June 2013," Bhattacharya said.

The Jharkhand Aluminium Project is an aluminium smelter coming up in Sonahatu, Jharkhand, with a capacity of 3,59,000 TPA and 900 MW captive power plant. The land acquisition process has commenced and the company is trying to get the environmental clearance. The first metal from the smelter is expected by June 2013, he said.

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First Published: Nov 01 2009 | 5:20 PM IST

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