BILT to invest $1 bn in Malaysian unit

 "In the first phase, we would be investing about $100 million in the next two-and a half years. Overall, we would be investing about $1 billion in SFI over the next few years," BILT chairman Gautam Thapar said after signing the agreement for transfer of SFI's ownership to BILT and its joint venture partner JP Morgan.

Thapar said BILT is also expanding its Indian facilities and aims at a total paper manufacturing capacity of one million tonnes by 2010 and two million tonnes a year by 2015 from the current about 500,000 tonnes a year.

According to the agreement, Ballarpur Paper Holdings BV, a 80:20 joint venture of BILT and JP Morgan, acquired 97.78% of SFI from Malaysia's Lion Group for $261 dollars (Rs 1,175 crore). This is the largest ever overseas acquisition by an Indian paper and pulp company.