Tanfac Industries to invest Rs 495 cr on new plant; plans to raise up to Rs 500 cr equity funds

New Delhi, Jan 9 (PTI) Tanfac Industries will set up a new downstream fluorinated chemicals manufacturing facility at a cost of Rs 495 crore and also plans to raise up to Rs 500 crore by selling equity shares to institutional investors.

In a regulatory filing on Friday, the company said that the Board approved the establishment of a new downstream fluorinated chemicals manufacturing facility with an installed capacity of 20,000 tonnes per annum.

The plant will be set up at its existing manufacturing location in Cuddalore, Tamil Nadu, and the facility will start operation by November this year.

"The total investment for the project is estimated at approximately Rs 495 crore," it added.

The project forms part of the company's long-term growth strategy to expand its downstream product portfolio.

The investment will be funded through a combination of equity and debt.

The Board also approved the raising of funds up to Rs 500 crore through equity shares by way of qualified institutional placement or other permitted modes.

It also cleared the subdivision of the equity shares of the company from a face value of Rs 10 each to Rs 5 each, with the objective of enhancing liquidity and broadening investor participation.

Tanfac Industries Limited is a joint sector company promoted by Anupam Rasayan India Limited and Tamil Nadu Industrial Development Corporation.

The company is engaged in the manufacture of hydrofluoric acid and its derivatives and operates its manufacturing facilities at SIPCOT Industrial Estate, Cuddalore. PTI MJH BAL BAL