India’s Murli Industries Ltd said Friday it has dropped plans to sell a stake in its Chandrapur cement plant in the western state of Maharashtra, and will instead use other means to raise up to INR10bn to finance its future cement and power projects.
In a regulatory filing, Murli Industries said it will raise funds either through a share sale to institutions, a depository receipts issue, a rights offering or via overseas convertible bonds. The funds will also be used to repay existing debt, it said.
Earlier in June, the diversified company, which has interests in cement, paper and pulp, chemicals and power, denied a Business Standard report that Lafarge, CRH and HeidelbergCement were among bidders for the company’s Chandrapur unit.
Murli Industries plans to build cement plants in the western states of Gujarat, Rajasthan, as well as the southern state of Karnataka. The three plants will each have an annual capacity of 3Mt, according to the company’s website.