In order to establish a new facility in Gujarat’s Mundra, the Adani Group has applied for a loan from the State Bank of India (SBI) . The amount applied for is of around Rs 14,000 crore. According to a Mint story, polyvinyl chloride (PVC) would be produced at the new factory using coal. The project’s setup would likely cost a total of about Rs 19,000 crore.
Only a few days have passed since the Adani Group, on June 26, obtained a loan in the amount of Rs 6,071 crore for a new copper refinery in Mundra. Kutch Copper Limited, one of the group’s subsidiaries, provided security for it.
The Gautam Adani-led firm also obtained a Rs 12,770 crore loan from SBI in March for the construction of a new international airport in Navi Mumbai. Another group subsidiary, Navi Mumbai International Airport Pvt Ltd (NMIAL), applied for the financing.
Later, SBI underwrote the loan and sold it to other lenders. Similar to this, the bank also intends to develop a strategy to underwrite the PVC plant loan in the future, with just Rs 5,000 crore of the overall loan amount being retained, according to the Mint article.
The loan proposal will apparently also be evaluated by other lenders to determine whether they may assume part of the risk.
The factory is anticipated to be included in Adani Group’s plans to create a petrochemical cluster in Mundra. It will produce goods such emulsion PVC, suspension PVC, and chlorinated PVC and will have a manufacturing capacity of 2,000 kilo tonnes per year (KTPA).
The business had indicated in its annual report for 2021—22 that Mundra will gradually establish a total capacity of 2 million metric tonnes of PVC. The first phase of the 2,000 KTPA project will be finished, and commissioning is anticipated for 2024.
IIFL Customer Care Number 
IIFL Capital Services Support WhatsApp Number
