Reported By:
| Edited By: Shubhashish |Source: DNA |Updated: Mar 17, 2018, 04:32 AM IST
New Delhi-based Bhushan Steel has raised a $300 million loan to finance the 5 million tonne steel plant being set up at Orissa.
Nittin Johari, director (finance), Bhushan Steel, told DNA, “The funds raised will be used to part finance the third phase of the Orissa project.”
The auto grade steelmaker’s 5 million tonne steel plant is being set up in three phases. Johari said, “The first two phases have been completed and we are running at a capacity of 2.3 million tonne. The third phase will have a capacity of 2.5 million tonne, which will take the total capacity of the plant to close to 5 million tonne.”
Johari said the third phase will be completed by October 2012.
He said, “The work is on in full swing and there is no problem with the funding. The total cost of the project is approximately Rs 15,000 crore and the debt to equity ratio for the long-term funds is 2.2:1”
On June 28, the company had put up a notice on the stock exchanges stating that the board has approved raising foreign currency loans of up to $500 million.
Bhushan Steel is also setting up a 2 million tonne
steel plant in West Bengal and is in talks with Sumitomo Metals of Japan for a partnership.
