STOCK MARKET BSE NSE

DCM Shriram to invest Rs 838 crore on expansion projects

DCM Shriram will invest Rs 838 crore for expansion of its sugar and chemical business, according to the company's quarterly report.

Published: 10th November 2017 01:11 PM  |   Last Updated: 10th November 2017 04:42 PM   |  A+A-

For representational purposes (File | Reuters)

By PTI

NEW DELHI: DCM Shriram will invest Rs 838 crore for expansion of its sugar and chemical business, according to the company's quarterly report.

Already, the company is implementing projects involving investments of Rs 350 crore for setting up of a distillery and aluminium chloride units besides expansion of its chlor-alkali unit. These will be commissioned in the second quarter of the next fiscal.

In its quarterly report, DCM Shriram said the board has given nod for additional investment of Rs 838 crore for expansion projects.

Out of this, Rs 500 crore is estimated to be invested for expansion of its DSCL Sugar-Hariawan unit. With the capacity enhancement, total sugar business capacity will increase from 33,000 tonnes crushing per day (TCD) to 38,000 TCD.

The rationale behind the sugar capacity addition is increase in cane availability, it said.

In its chemical business, the company will invest about Rs 98 crore to raise the capacity of its Chlor Alkali units in Bharuch in Gujarat and Kota in Rajasthan from 1,425 tonnes per day (TPD) to Rs 1,655 TPD.

About Rs 240 crore will be invested to install a new 66 MW power plant to replace existing old and inefficient 50 MW plant and provide additional 16 MW captive power for caustic soda expansion.

These projects will be financed through internal funds and debts, the company added.

DCM Shriram Ltd has reported a 88.21 per cent jump in its consolidated net profit at Rs 171.95 crore in the September quarter of the current fiscal on strong sales.

Its shares were trading up 0.02 per cent to Rs 549 a piece at 1242 hours on BSE today.

More from Business.

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

IPL_2020
flipboard facebook twitter whatsapp