JK Paper raises Rs 225 crore via FCCBs

JK Paper has raised Rs 225 crore (Euro 35 million) via unsecured foreign currency convertible bonds (FCCBs). The issue of FCCBs is towards partly meeting the capital expenditure of Rs 1653 crore for the proposed expansion at the company’s Odisha plant.

The project is primarily for, setting up a new or augmented fibre line with a capacity to produce approximately 215,000 TPA of pulp and paper machine for manufacturing 165,000 TPA of wood free copy paper. This will increase the total installed capacity from 240,000 TPA to 390,000 TPA.

JK Paper is India’s largest producer of branded paper and is a leading player in the printing and writing segment. It is also engaged in outsourcing activity wherein it contracts the capacities of other mills in India and abroad to manufacture various grades of paper, maintaining the same quality and service assurance.