Owens-Corning India (Pvt) Ltd., a joint venture between Owens Corning of the United States and India“s Mahindra group, is proceeding with a private placement of 24% of its equity.
Mr. Madhusudan Dew…
Owens-Corning India (Pvt) Ltd., a joint venture between Owens Corning of the United States and India“s Mahindra group, is proceeding with a private placement of 24% of its equity. Mr. Madhusudan Dewan, the joint venture“s managing director confirmed that the company was looking at a private placement. A final decision is expected by the first week of December. In the new equity structure, Owens-Corning could hold a 50% stake, and Mahindra & Mahindra a 26% stake. The International Finance Corporation (IFC) recently approved a loan of up to US$ 25 million to Owens-Corning to build and operate their proposed US$ 102 million plant to manufacture glass fibre reinforcements at Taloja in Maharashtra. The plant will have the capacity to manufacture 30,000 metric tonnes per year of glass fibre products used in the composites industry and is expected to be operational by the mid-1998. About 25% of output will be sold in India while the rest will be available for the global composites market. Most of the production from India will be sold in south-east Asia and West Asia.