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Kotak Special Situations Fund to invest up to Rs 450 crore in Gold Plus Glass Industry Limited

Posted On : 2022-03-01 15:32:17( TIMEZONE : IST )

Kotak Special Situations Fund to invest up to Rs 450 crore in Gold Plus Glass Industry Limited

Kotak Special Situations Fund (KSSF), managed by Kotak Investment Advisors Limited (KIAL) today announced an investment of up to Rs 450 crore in Gold Plus Glass Industry Limited (Gold Plus). Gold Plus is India's second largest float glass manufacturer, with two manufacturing lines in North India, and offers a full bouquet of product offerings of Clear Glass and Value-Added Glass.

Under the transaction, of the total up to Rs 600 crore to be raised by Gold Plus, KSSF will invest up to Rs 450 crore, while Premji Invest, an existing investor in Gold Plus, will invest up to an additional Rs 150 crore. The funds raised by Gold Plus will be used to invest in the Company's expansion plan of setting up two new float glass manufacturing lines and one solar glass line in South India for a project of up to Rs 2,500 crore.

Subhash Tyagi, Chairman, Gold Plus said, "Gold Plus is poised for its next phase of growth by participating and contributing to the 'Make-in-India' vision of the Government of India. I am pleased to welcome KSSF on board, along with Premji Invest who have shown confidence in our Company by investing in the second round of funding. Our journey over the past decade has been about being the one stop solution for glass, investing in the future and capability enhancement. We will continue to create consistent value for our stakeholders and scale new levels of success."

Jimmy Tyagi, CEO, Gold Plus said, "This is an exciting phase for the Company. This investment will fast track our expansion plan, and will bring significant merits for the industry and contribute in making India self-reliant for glass production where currently more that 30% of glass requirement is met through imports. We will strive to meet the expectations of our stakeholders by continuing our business management model in order to simultaneously generate economic, societal and environmental value."

Eshwar Karra, CEO-Kotak Special Situations Fund, Kotak Investment Advisors Limited said, "Our investment in Gold Plus is in-line with the Make-in-India programme of the Government and our philosophy of partnering with high-quality, growth-oriented businesses. The Indian float glass industry is undergoing a structural shift with growing usage in architectural, automotive and industrial sectors, along with the Government's increasing support for domestic manufacturers. We believe Gold Plus, the only Indian player in the sector is ideally poised to capture this growth trend in the coming years and we look forward to play an active role in the company's growth story."

Rajesh Ramaiah, Partner, Premji Invest said, "We are excited to commit further capital to our existing partnership with Gold Plus for one of the largest expansions planned in the glass Industry. The expansion will help reduce the import dependency in line with Government's Atmanirbhar initiative.

With the support of the Karnataka Government through incentives and fast track approvals, large employment generation in a developing industrial belt of Belgaum is enabled. The plant for solar glass will give further impetus to the initiatives being taken by the government in the solar industry."

Source : Equity Bulls


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