Raising funds to meet capex requirement & repay some debt: Vardhman Special Steels

Vardhman Special Steels is on our radar now. The board is likely to consider some fund raising plans. In an interview to CNBC-TV18, Sachit Jain, VC & MD of the company spoke at length about the same.

We are raising funds to meet capex requirement and repay some debt, said Jain.

He further said that we want to have a stronger balance sheet.

Talking about business, he said we are looking at producing 1.5 lakh tonne of steel versus 1.31 lakh tonne year-on-year (YoY).

Jain further said that the current debt to equity ratio is at 0.8:1. However, if we go through capital raising it should come down to 0.25 till we restart investing.

"If this capital raising goes through, we are unlikely to come back to the capital markets for next three-four years," he said.

Watch accompanying video for more details.