Steel major Tata Steel said its board has approved raising ₹12,800 crore through a rights issue to finance organic and inorganic growth plans.
In its meeting on Tuesday, the board also approved a proposal to expand the capacity of Kalinganagar plant by 5 million tonne per annum (mtpa) to 8 mtpa with a total investment of Rs 23,500 crore, the company said in a statement.
The board also reviewed the financial strategy of the company in the light of organic and inorganic growth strategy of the company and approved financial plan to raise capital for the plan.
“The Board approved issuance of equity and equity linked instruments including ordinary shares of the company by way of a rights issue to existing shareholders on record date for an amount not exceeding Rs 12,800 crore...,” the statement said.
