Apollo Tyres' plans to raise about Rs1,725 crore through issue of securities was on Thursday approved by the shareholders of the company.
In a BSE filing, the company said, in AGM held on Thursday, its shareholders have approved raising of funds up to $200 million (approx Rs1,225 crore) through issue of securities and up to Rs500 crore through placement of non-convertible debentures.Shareholders have also approved raising of Foreign Institutional Investors (FII) limit in the company to 45 per cent from 40 per cent earlier.
Meanwhile, on Wednesday Apollo Tyres said it will invest euro 500 million (about 4,100 crore) on its proposed greenfield facility in Eastern Europe.The facility, first for Apollo outside the country, will be commissioned in 2017-18, the company's Vice Chairman and Managing Director Neeraj Kanwar told reporters."Where exactly the plant was to come up had not yet been decided.
We are still negotiating with Eastern European countries. This is the first time Apollo is looking at greenfield facility outside India," Kanwar said."The investment will be around 500 million euro," he added.The plant will have per annum manufacturing capacity of 5.5 million units passenger car tyres and 6.75 lakh units heavy commercial vehicle tyres.