South India's largest cement manufacturer India Cements has availed itself of over Rs 500 crore from ICICI Bank and Axis Bank.
According to the Annual Report 2011-12, it has availed financial assistance in the form of external commercial borrowing (ECB) of $60 million from ICICI Bank Limited for the purpose of setting up a thermal power plant with a capacity of 50 Mw and upgradation of Chilamkur cement plant in Andhra Pradesh.
Earlier, the company said it was planning to set up two captive power plants of 50 Megawatt (Mw) each, in Tamil Nadu and Andhra Pradesh, to be commissioned in October and the last quarter of fiscal 2013 respectively. These projects alone would attract investments of Rs 250-300 crore.
The company has allotted 11.25 per cent - 4,000 secured redeemable non-convertible debentures of the face value of Rs 5 lakh each, aggregating Rs 200 crore to ICICI Bank for the purpose of redemption of non-convertible debentures and repayment of existing bank debts, it stated.
From Axix Bank, it has availed of Rs 300 crore term loan for the purpose of prepayment of existing high cost debt and retirement of FCCBs.