Godawari Power & Ispat to Set Up Flat Steel Plant in Chhattisgarh
Raipur based Godawari Power and Ispat Limited’s is proposing to set up an integrated steel plant with a capacity of 1.5-2 million tonnes of flat products in Chhattisgarh under Production Linked Incentive Scheme. The estimated capital outlay shall be around INR 3000-4000 crores. The Company has initiated the process for land acquisition, obtaining of environmental clearances, etc for setting up of the said project and the final cost of project shall be finalized in due course.
The board also approved investment up-to INR 70.20 crores for acquisition of additional equity shares proposed to be offered by Hira Ferro Alloys Limited on preferential basis to Godawari Power and Ispat Limited, subject to approval of shareholders of Hira Ferro Alloys Limited. Hira Ferro Alloys Limited is an Associate Company of Godawari Power and Ispat Limited, in which Godawari Power and Ispat Limited is already holding 48.45% of the equity shares. Consequent upon aforesaid further investment, Hira Ferro Alloys Limited will become subsidiary of Godawari Power and Ispat Limited with 56.45% of enhanced share capital of HFAL. Hira Ferro Alloys Limited, engaged in the business of manufacturing of ferroalloys is setting up of a 70 MW Solar Power Plant in Rajnandgaon in Chhattisgarh for its captive use with a project cost envisaged at INR 230 Crores. The project will be financed partially through equity and partially through bank finance.