Sterlite Tech earmarks Rs 250 cr for expansion

Written by Agencies | Mumbai | Updated: Jun 27 2009, 16:15pm hrs
Global transmission solutions provider, Sterlite Technologies said it has chalked out a Rs 250-crore capital expenditure plan to scale up its optical fibre capacity.

Sterlite's current facility of 6-million kilometres is already under expansion to 12-million kilometres which would get established in the current fiscal.

The enhanced capacity of 20-million kilometres would be functional by 2011 and position the company amongst the top three manufacturers globally, a release said in Mumbai.

The expansion would be done through a combination of brown-field expansion at the company's existing facility in Aurangabad, Maharashtra, and a green-field set up at a location to be finalised soon, the release said.

To partly meet the cost of this project, the company's Board has approved the issue of up to 73,00,000 warrants on a preferential basis to the promoters and entity/entities of promoter group.

The warrants would be issued at a price to be determined in accordance with SEBI guidelines, entitling the warrant holders to apply for equivalent number of fully paid equity shares of the company subject to statutory approvals, it said.