BackKesoram Industries values tyre factory at Haridwar at Rs2,800 crore
Firm has transferred the factory to a subsidiary and is looking to sell
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Kolkata: Kesoram Industries Ltd has valued its tyre factory at Haridwar, which it transferred to a subsidiary and is looking to sell, at ₹ 2,800 crore.
In a notice to shareholders last month, Kesoram had said that its subsidiary—Cavendish Industries Ltd—would pay for the unit in shares worth up to ₹ 3,573 crore.
Following shareholders’ approval last week, the transfer was concluded, Kesoram said on Wednesday.
The Uttarakhand unit has an installed capacity of producing 600 tonnes of tyres a day.
The company has been looking to sell its tyre factory in Uttarakhand, which enjoys some tax benefits, to pare its debt.
At the end of 2013-14, Kesoram’s total liabilities—including long term and short term borrowings—stood at ₹ 5,761 crore.
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