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Jay Shree Tea & Industries Ltd, belonging to B.K. Birla Group, has obtained approvals from the appropriate authorities allowing foreign holding in the company. “We've not decided as yet whether it will be by way of FDI, QIP or GDR,” Mr D.P. Maheshwari, Managing Director of the company, told Business Line . “We're examining options and in talks with various foreign banks and financial institutions in this regard.”
Meanwhile, the company has got shareholders' approvals for raising Rs 100 crore to fund development of existing properties as well as acquisition of new ones in Africa. “We're exploring opportunities in both Rwanda and Uganda but nothing has concretised”, Mr Maheshwari said, adding, “things move slowly in that part of the world.”
Right now Jay Shree has three tea properties in Africa, two in Rwanda and one in Uganda, with a total production of 5.5 million kg. “We would like to step up production from these properties to seven million kg in the next three to four years and with it the capacity of the factories,” he added. “We've to make substantial investments.”
It might be noted that the company has interests also in chemical fertilisers and sugar.
Shares of Jay Shree Tea rose 0.55 per cent on the BSE on Tuesday to close at Rs 174.45.
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