Arshiya to invest Rs 1,000 cr, plans two more FTWZs...
Arshiya International that has come up with India's first Free Trade and Warehousing Zone (FTWZ) will be investing Rs1,000 crore this financial year and roll out two more FTWZs in northern and western India. HT reports.business Updated: Mar 18, 2011 21:47 IST
Arshiya International that has come up with India's first Free Trade and Warehousing Zone (FTWZ) will be investing Rs1,000 crore this financial year and roll out two more FTWZs in northern and western India.
Speaking to reporters Ajay Mittal, chairman, Arshiya, said, "Two of our FTWZs - Khurja (in UP) by June and Nagpur (in Maharashtra) - will be operational by the end of 2011."
Company officials said that investments of Rs 3,652 crore would be made by 2013. "Of this, around Rs 1,000 crore will be made in the current financial year," a senior company official told Hindustan Times. The company has already spent Rs 1,600 crore till December 2010.
BSE-listed Arshiya has reached the break-even point, company officials said. According to the figures given by the company, about Rs 904 crore have been raised in debt and Rs 696 crore have been raised through equity. The promoter's holding in the company is around 45%. When asked about how the company will raise Rs 1,000 crore and whether the company was looking at further dilution of equity, Mittal said, "We are not looking at any further dilution of equity. For our future plans we will be using funds through internal accruals."
For the proposed Rs 3,652 crore investment, around Rs 2,640 crore will be done through debt while around Rs 1,012 crore will be raised through equity.
"We are also in talks with a company for setting up 20 warehouses in all our 5 zones. If this deal gets through, it will impact our top line," added Mittal.