The Board of Kajaria Ceramics at its meeting held on 04 February 2025 has approved the following:
- Increase in the limits of loans to be given to Kerovit Global, a step down wholly-owned subsidiary company (KGPL), from Rs. 90 crore to Rs. 100 crore, in one or more tranches, and to provide bank guarantee upto Rs. 20 crore by the Company on behalf of KGPL, in one or more tranches.
- Increase in the limits of investment in Keronite Tiles, a subsidiary company (KTPL), from Rs. 65 crore to Rs. 85 crore, in one or more tranches, by way of subscribing/acquiring upto 90% shares of KTPL and/or granting of loan to KTPL, and to provide bank guarantee upto Rs. 20 crore by the Company on behalf of KTPL, in one or more tranches.
- Investment in Kajaria Adhesive (KAPL) upto Rs. 16 crore, in one or more tranches, by way of subscribing/acquiring upto 75% shares of KAPL, to make KAPL as a subsidiary of the Company and/or granting of loan to KAPL.
- Acquisition of additional 1% equity shares of Kajaria Ramesh Tiles, Nepal, a joint venture company (JVC) to increase the Company's stake in JVC from 50% to 51%, so as to make JVC as a subsidiary of the Company and investment by the Company in the revised project cost of Rs. 108.38 crore (i.e. 51% of Rs. 212.50 crore) and working capital of Rs. 63.75 crore (i.e. 51% of Rs. 125 crore) in JVC, by way of equity and/or loan and/or bank guarantee and/or standby letter of credit, in one or more tranches.
The Company has already invested Rs. 111.56 crore in JVC. Accordingly, the Company will, now, invest Rs. 60.57 crore in JVC towards the revised project cost and revised working capital, by way of equity and/or loan and/or bank guarantee and/or standby letter of credit, in one or more tranches.