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Mar 29 2008 5:18PM
Ispat Ind plans to raise 10 bln rupees for expansion

KOLKATA, March 29 (Reuters) - Steel firm Ispat Industries Ltd <ISPT.BO> plans to raise 10 billion rupees through a mix of rights issue and foreign currency convertible bonds (FCCB) to part-finance new projects and capacity expansion, a top official said on Saturday.

The firm is setting up a 1 million tonne a year coke oven plant and a 4.5 million tonnes a ear pellet plant, Anil Sureka, director (finance) told reporters.

The steel maker also plans to raise existing hot-rolled coil capacity to 3.6 million tonnes a year, from 3 million tonnes, he said.

The projects will cost the company 22.92 billion rupees, he said.

"We are exploring the rights issue and FCCBs option for financing the projects," he said, adding, nothing has been finalised yet.

The firm is expecting to implement all three projects within two years. (Reporting by Tamajit Pain) (([email protected], +91-98300-22854, Reuters Messaging: [email protected]))

Keywords: ISPAT PLANS/

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