One of the biggest vertically integrated textile mill groups in India, Alok Industries said it is planning to raise Rs 2,000 crore by selling land and in the process pare debt.
Alok is also hoping to double exports in the next three years, which stood at US $650 million in the previous fiscal year.
"We have decided to sell land in Mumbai, Silvassa and Vapi totalling to Rs 2,000 crore and hope to wrap up the sale within the next two years,” Ashok Jiwrajka, chairman told media.
Alok which has a consolidated debt of Rs 20,000 crore is also planning to swap its local loans with dollar loans to reduce interest cost by around Rs 600 crore.
“Overseas buyers are considering India as an alternative to deleverage their sourcing from China. We look to capture this demand coming towards India and double exports in the next three years,” Alok CFO, Sunil Khandelwal said.
In order to strengthen its US market and design capabilities, the textile group has tied up with Next Creations, based in the US.
Alok has set up a special purpose vehicle (SPV) in Singapore and markets global brands in Bangladesh, Sri Lanka, UK and other European countries, Ashok Jiwrajka informed. (AR)
