Moser Baer India's photovoltaic (PV) business unit plans to raise Rs 411 crore from a consortium of global investors such as Nomura, CDC Group, Credit Suisse, Morgan Stanley, IDFC PE and IDFC. The fund will be raised in a debt-equity ratio of 1:1.5. The company may also raise an additional Rs 200 crore by March-end next year.
The new investment will dilute Moser Baer’s stake in the unit by 6.5 per cent to 93.5 per cent, said the company. This capital infusion will be used for the expansion of its crystalline silicon cell manufacturing capacity to 180 mw from the current 80 mw, and silicon thin film capacity to 120 mw from 40 mw.
The transaction values Moser Baer’s PV business at Rs 6,350 crore. In 2007, the company had raised Rs 400 crore through the private equity route. In all, the wholly owned subsidiary would have raised Rs 811 crore through this route. Moser Baer has a planned capital expenditure of $400 million (Rs 1,760 crore) for the current financial year.
“We have the potential to raise Rs 200 crore in this financial year for the PV business. This amount will be raised through both PE and market. From next financial year onwards, Blu Ray will fuel the company’s growth,” said Yogesh B Mathur, the group chief financial officer.
At present, the company has production lines for crystalline silicon cell and thin film in Greater Noida. It is also setting up a thin film PV plant in Chennai at an investment of Rs 600 crore. Its PV business generated revenues of around Rs 190 crore in FY08.
