OCL India to raise funds for capacity expansion

OCL India to raise funds for capacity expansion
Published: 18 May 2006

OCL India Ltd is planning to raise funds to expand its Rajgangpur plant to 3.8Mta from 1.8Mta. Total cost of the capacity expansion programme has been estimated at US$150m. The project would be completed and commissioned within the next 28 months. It is unclear as to whether OLC will opt for a rights issue to partially fund this expansion. OCL has also decided to set up a power plant, but Mr Malhotra clarified that only preliminary exercise has started. "No decision has been taken on this matter," he said.  
 
Meanwhile, for the quarter ended March 31 2006 OCL’s sales increased by 23 per cent to end at Rs 207.25 crore against Rs 168.75 crore in the corresponding quarter of the previous financial year 2004-06. Net profit jumped to Rs 11.56 crore from Rs 9.48 crore.