Balrampur Chini Mills has approved the establishment of a Lactogypsum Processing Plant at Kumbhi, Uttar Pradesh, with an estimated investment of up to ₹160 crores. The company has also approved a preferential issue of equity shares worth ₹450 crores to support its expanding capital expenditure plans and strategic initiatives.

Lactogypsum Processing Plant Development

The proposed facility will manufacture gypsum boards using lactogypsum, a by-product of the company's upcoming Polylactic Acid (PLA) project. The plant is expected to have a production capacity of approximately 76 lakh gypsum boards per annum, with commercial production expected to commence by December 2027.

Ms. Avantika Saraogi, Executive Director at BCML, stated that the proposed fund raise aims to support the company's next phase of expansion and enable investments in strategic initiatives such as the upcoming gypsum processing plant at Kumbhi.

Comprehensive Funding Strategy

The board has approved a preferential issue of equity shares aggregating to approximately ₹450 crores, subject to shareholders approval. The capital infusion is aimed at strengthening the company's balance sheet and supporting upcoming expansion initiatives, with promoters participating at approximately 43 percent.

Additionally, the board has authorized the issuance of Non-Convertible Debentures (NCDs) up to ₹200 crores in one or more tranches, further enhancing financial flexibility for future growth opportunities.

Revised PLA Project Capital Expenditure

The company has revised the capital expenditure for its Polylactic Acid (PLA) project to approximately ₹3,080 crores, reflecting updated project requirements and cost escalations from the original ₹2,850 crores.

Mr. Vivek Saraogi, Chairman & Managing Director, BCML, emphasized that the company continues to take a calibrated approach towards growth, with a clear focus on strengthening its integrated business model. He noted that the continued participation from promoters in the proposed fund raise reflects their commitment to these initiatives and confidence in the long-term value creation potential of the business.

Strategic Project Portfolio

The comprehensive funding structure supports the company's ambitious expansion plans across multiple strategic initiatives, demonstrating commitment to sustainable growth and diversification into value-added products.

Balrampur Chini Mills operates as one of India's largest integrated sugar companies with ten sugar factories in Uttar Pradesh, aggregate sugarcane crushing capacity of 80,000 TCD, distillery operations of 1,050 KLPD, and cogeneration operations of 175.7 MW.

Balrampur Chini Mills Limited has officially granted Employee Stock Appreciation Rights (ESARs) to eligible employees under its ESAR 2023 plan. The company informed stock exchanges on April 23, 2026, in compliance with SEBI (Listing Obligations & Disclosure Requirements) Regulation, 2015 and SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021.

ESAR Grant Details

The company has granted 12,777 ESARs under the BCML Employees Stock Appreciation Rights Plan 2023. Each ESAR has been priced at ₹541.55, with a structured vesting and exercise framework designed to align employee interests with long-term company performance.

Implementation Framework

The ESARs will vest over a period of four years, providing employees with a four-year exercise window from the date of vesting. The quantity of equity shares to be allotted against each ESAR will be determined according to the provisions outlined in the ESAR 2023 plan.

Regulatory Compliance

The grant has been executed in accordance with applicable SEBI regulations governing share-based employee benefits and sweat equity. The formal intimation was signed by Manoj Agarwal, Company Secretary & Compliance Officer, and submitted to both NSE (Symbol: BALRAMCHIN) and BSE (Scrip Code: 500038) for record purposes.

This employee stock appreciation rights program demonstrates the company's commitment to employee retention and performance-based compensation aligned with shareholder value creation.