Project Tyre (IFC-41397)

Countries
  • India
Where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Bank Risk Rating
B
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Jun 16, 2019
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
MAHANSARIA TYRES PRIVATE LIMITED
The holder of the loan, grant, or other investment.
Sectors
  • Industry and Trade
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 30.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 107.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ IFC website

Updated in EWS Jun 19, 2019

Disclosed by Bank May 14, 2019


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Project Description

According to the bank website, the proposed investment will support the Company in setting up a greenfield off-highway tyre (OHT) manufacturing facility in India (the “Project”). The proposed facility is expected to have a manufacturing capacity of 70,000 metric tonnes (MT)/annum built in two phases. The construction of Phase-1 with a capacity of 40,000 MT/annum is expected to be operational by June 2020. Construction of Phase-II with additional capacity of 30,000 MT/annum will start after Phase-I is operational and it is expected to become operational by March 2024. The main operations at the facility will include raw materials preparation and mixing, component making, tire building, tire curing and finishing. The key raw materials will include rubber (natural and synthetic), carbon black, process oils, chemicals, clay and tire cord.The proposed investment is (i) a senior A-loan for S$ 30 million and (ii) equity of INR 542 million for the project.

The IFC website at the time of writing has marked company name as Pending.

Investment Description
  • International Finance Corporation (IFC)
Contact Information

No project-specific contact information available at time of writing.

ACCOUNTABILITY MECHANISM OF IFC

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