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Usha Martin plans steel capacity expansion

Thursday, 03 Aug 2006
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Usha Martin is planning capacity expansion at its steel manufacturing capacity at Jamshedpur in Purbi Singhbhum district of Jharkhand. The project will entail an investment of Rs.1,200 crore.

The steel capacity will be increased from existing 3.2 lakh tpa to 1 million tpa within a period of three to four years. Around 6 lakh tpa of finished steel will be sold to automobile and engineering companies, while the rest will be value-added internally into wire rope and wires.

Out of the total project cost, around Rs.200 crore has already been raised through GDRs, and warrants issued to promoters. Another Rs.500 crore will be raised through internal accruals while the balance Rs.500 crore will be tied up.

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