Mahindra To Raise Rs 5,000 crore

Indian automaker Mahindra will seek the approval of its shareholders at its annual general meeting as it aims to raise up to Rs. 5,000 Crore.

Mahindra will raise the money through the issuance of securities on private placement basis from domestic and international markets.

In a filing with the Bombay Stock Exchange, the automotive giant said that it would spend the raised money "to augment resources for, inter alia, the ongoing capital expenditure, long-term working capital/short term working capital and for general corporate purposes."

Mahindra will bring up the issue of the raising of funds at its annual general meeting with shareholders which will take place on the 10th of August. The company said, "The company seeks to pass an enabling resolution to borrow funds from time to time by offer of securities, including but not limited to, non-convertible debentures and or commercial paper for an amount not exceeding Rs 5,000 crore."

Mahindra had gained permission to raise the same amount of money from its shareholders at last year's annual general meeting but did not go ahead with its fund raising plan in the year that followed.