Kesoram Industries, engaged in cement, tyre, rayon yarn, transparent paper, spun pipes and heavy chemicals announced that the board of directors have approved a fundraising plan of up to Rs. 25 billion by way of various capital markets instruments.

"The board of the company has approved raising of funds through Equity, Bond, FCCB, ADR, GDR, Commercial Paper and/or other Debt Instruments and/or any other convertible, partly convertible and non-convertible securities as may be deemed fit including by way Further Issue, QIP, Private Placement and/or Preferential Allotment, any other permitted mode and/or by a combination," the company said.

The company will raise the above funds in one or more tranches. This fund raising is primarily to retire company's existing debt and to bring down the cost of the borrowing. Further the Board delegated all its power to the Fund Raising Committee ('FRC') to take all necessary decisions on this fund raising plan, from time to time.

Further under Rights Issue, the Kesoram board approves making of the first and final call of Rs 25 per partly paid equity shares (including premium of Rs 20 per share). The company has fixed December 2, 2021, as the record date to ascertain the holders of the partly paid-up equity shares to whom the first and final call notice will be sent. The call payment period will be from December 21, 2021, to January 4, 2022.

Shares of the company declined Rs 1.30, or 2.12%, to settle  at  Rs 60.  The total volume of shares traded  was 125,890 at  the BSE (Monday).