RINL in talks with SBI for Rs 1,600 crore debt for UP project

Firm has product price formula of production cost plus 10% return per set of wheels

State-owned Rashtriya Ispat Nigam Ltd (RINL) is close to tying debt for its Rs 1,600-crore forged-wheel project planned for the railways in Uttar Pradesh.

“Talks with State Bank of India (SBI) are in the advanced stage for a Rs 1,200-crore debt we need for the unit to be set up over 50 acre at Rae Bareli,” Chairman and Managing Director P Madhusudan told Business Standard. 

“Funding will be entirely done by RINL and the railways will be providing land for the project,” he added.

The steel producer is also in talks with two other banks for the debt tie-up. "The