CHENNAI: Tapping green funds, Grasim Industries, the flagship company of Aditya Birla Group, has secured an investment of Rs 1250 crore from International Finance Corporation (IFC), private sector arm of the World Bank Group. The investment is by way of subscription to non-convertible debentures (NCD) to be issued by the company.
The sustainability-linked NCDs will support the company’s investment in paint manufacturing, it said in exchange filings on Tuesday. “IFC’s investment will accelerate Grasim’s decarbonisation drive via increased adoption of renewable energy and water recycling in paint manufacturing process.”
This comes after Aditya Birla Group Chairman Kumar Mangalam Birla recently launched decorative paints brand Birla Opus with upfront investment of Rs 10,000 crore. Grasim Industries said all six manufacturing plants will be fully sustainable with zero liquid discharge and end-to-end traceability.
H K Agarwal, MD of Grasim Industries, said, “We will work collaboratively with IFC to further enhance our sustainability footprints. We are addressing the transition to a low-carbon economy through our renewable projects and energy-efficient products, and are looking forward to further aligning our activities to the global Sustainable Development Goals.”
Wendy Werner, country head at IFC, said this financing will encourage other manufacturing companies to follow by successfully adopting energy efficient and water saving technologies and practices.