Dairy product maker Hatsun Agro Product Ltd., plans to raise ₹700 crore through private placement of equity shares by way of qualified institutional placement for its expansion plans.
On Wednesday, the board also approved a proposal for increasing the company’s borrowing limit from ₹1,500 crore to ₹1,800 crore, it said in a regulatory filing.
Hatsun is in the process of increasing the capacity of its milk and milk-products plant in Solapur by 50,000 litres per day to produce lassi and butter milk and this expansion is likely to be completed by end of September.
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Further, it plans to set up a curd processing plant with a capacity of 1 lakh litre a day in Dharapuram, Tamil Nadu which would be ready by March 2022.
Similarly, the ice-cream plant in Telangana with a capacity of one lakh kg per daywill be ready by November at an investment of ₹311 crore. HAPL is also scouting for land in northern part of Andhra Pradesh to set up a dairy.
HAPL, meanwhile, reported an almost 4% growth in its net profit to ₹58.32 crore for the first quarter ended June. Revenue from operations rose 21% to ₹1,545 crore. The board declared an interim dividend of ₹6 per share for FY22.
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