Radha Madhav lines up Rs 18.10cr for pharma packaging expansion

New Delhi, Sep 15 (UNI) Packaging company Radha Madhav today said it has tied up Rs 18.10 crore for expansion of its pharma packaging businesses at Uttaranchal and Daman, to be raised through issue of Rs 10 crore Convertible Debenture and 18,00,000 equity shares at Rs 45 per share to a foreign investors aggregating Rs 8.10 crore.

The 10,00,000 unsecured 10 per cent Convertible Debenture of Rs 100 will be issued to foreign investor India Star (Mauritius) Ltd, for which the company has recieved the board's permission and will convene an Extra Ordinary General Meeting.

The money raised will be utilised for setting up a new project for research and development and manufacturing of high-end pharma packaging materials at a cost of Rs 86.50 lakh.

With this the production capacity of the company will increase to 16000 MT per annum for PVdC coating, 1000 MT for collapsible tubes and Tenter-frame to produce 4000 MT of bilaterally oriented PVC shrink film.

Further the construction work at Daman is 80 per cent complete and provisional permission for construction at Uttaranchal has been received by the company, a company statement said.

The board of directors also took note of progress of SAP implementation.

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