Team News Riveting
Raipur, July 27
Godawari Power and Ispat Limited (GPIL), a flagship arm of Chhattisgarh-based Hira Group of Industries, would set up an integrated steel plant for flat products.
The board meeting of the company held today approved in principle, the proposal for setting up of Integrated Steel Plant with a capacity of 1.5 to 2 Million Tonne of Flat Products in the State of Chhattisgarh under PLl Scheme (Production-Linked Incentive Scheme). The estimated capital outlay shall be around Rs 3000 to 4000 crore, GPIL said in a regulatory filing.
The Company has initiated the process for land acquisition, obtaining of Environmental clearances, etc. for setting up of the said project and the final cost of project shall be finalized in due course. The proposed site is in the industrial area at the outskirts of the state capital.
The board also approved investment up-to Rs 70.20 crore for acquisition of additional equity shares proposed to be offered by Hira Ferro Alloys Limited (HFAL) on preferential basis to GPIL, subject to approval of shareholders of HFAL. HFAL is an Associate Company of GPIL, in which GPIL is already holding 48.45 per cent of the equity shares. Consequent upon aforesaid further investment, HFAL will become a subsidiary of Company with 56.45 per cent of enhanced share capital of HFAL.
HFAL, engaged in the business of manufacturing of Ferro Alloys is setting up of a 70 MW Solar Power Plant in the Rajnandgaon, Chhattisgarh for its captive use with a project cost envisaged at Rs 230 crore. The Project will be financed partially through equity and partially through bank finance.
The company also approved the proposal for payment of an Interim Dividend of Rs 5.00 (i.e. 50 per cent) per equity share of Rs 10 each for the financial year 2021-22 on the entire paid up share capital of the Company comprising of 3,52,36,247 equity shares of the nominal value of Rs. 10/- each. The record date for the purpose of payment of Interim Dividend shall be 04.08.2021 and the payment will be made on or from August 12, 2021.
