Heidelberg Cement gets shareholders nod to raise up to Rs 2K crore

NEW DELHI: Heidelberg Cement today said its shareholders have accorded approval for raising funds up to Rs 2,000 crore through borrowings.

The shareholders had approved the proposal at its annual general meeting that took place on May 16, Heidelberg said in a BSE filing.

Shareholders have delegated to Board the authority "for borrowing from time to time, as it may think fit, any sum or sums of money not exceeding Rs 20,000 million on such security and on such terms and conditions as the Board may deem fit, including the borrowings in foreign currency equivalent to Rs 20,000 million through External Commercial Borrowings (ECBs)."

Heidelberg Cement, which recently decided to sell its 0.6 million tonnes per annum (mtpa) cement grinding facility in Raigad to JSW Group, has a capacity to produce five mtpa cement in India.

The sale of the unit is in line with its philosophy of divesting less strategic assets with lower margins to focus on more strategic and key operations in Central India, it had said at the time of entering into an agreement with JSW Group.

However, it had maintained that India would continue to be a high growth market and Heidelberg Cement Group remains committed towards its growth plans for the country and would look at all organic and inorganic paths of growth.