Star Cement Limited , a prominent player in the cement industry, has announced a significant move to bolster its financial position. The company's Board of Directors has given the green light to raise funds up to ₹1,500 crore through various methods, signaling a strategic step towards future growth and expansion.

Key Highlights of the Fund Raising Plan

• Maximum Fund Raise: Up to ₹1,500 crore
• Methods Approved:
  • Private placement
  • Preferential issue
  • Rights issue
  • Qualified institutions placement
  • Other permissible modes or a combination thereof

Board Meeting Details

The decision was made during a board meeting, which lasted from 2:30 PM to 3:35 PM. The board has taken several important steps to facilitate this fund-raising initiative:

1. Fund Raising Committee: A dedicated committee has been authorized to handle all matters related to the proposed fund raise.
2. Shareholder Approval: The company will seek shareholder approval through a postal ballot process.
3. Regulatory Compliance: The fund-raising plan will be executed in accordance with applicable laws and subject to appropriate sanctions, permissions, and approvals, including those from shareholders and regulatory bodies.

Postal Ballot Notice

Star Cement's board has approved the draft of a postal ballot notice in compliance with Section 110 of the Companies Act, 2013, and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This notice will be submitted to the stock exchanges in due course.

Potential Use of Funds

While the specific use of funds has not been detailed in the announcement, such a significant capital raise could potentially be directed towards various strategic initiatives, including:

• Expansion of production capacity
• Debt reduction
• Working capital requirements
• Technological upgrades
• Market expansion

Conclusion

This move by Star Cement Limited demonstrates the company's proactive approach to strengthening its financial position and preparing for future opportunities in the cement sector. As the fund-raising process unfolds, stakeholders will be keen to see how this capital infusion translates into tangible growth and value creation for the company.

Shareholders and potential investors are advised to keep an eye out for the upcoming postal ballot and any further announcements from the company regarding the specifics of the fund utilization plan.

Star Cement Limited has announced a crucial board meeting scheduled for October 14, 2025, to evaluate various fundraising proposals. This development comes as the company looks to strengthen its financial position and potentially fuel future growth initiatives.

Key Meeting Details

Fundraising Considerations

The company's board will deliberate on a range of fundraising options, showcasing a flexible approach to capital acquisition. The methods under consideration include:

• Issuance of bonds or debentures
• Non-convertible debt instruments
• Equity shares
• Warrants
• Other securities

Star Cement has also outlined various potential routes for these issuances, such as preferential issue, private placement, qualified institutions placement, and rights issue. The company may opt for one or a combination of these methods, subject to necessary approvals.

Regulatory Compliance

In adherence to regulatory requirements, Star Cement has duly informed the National Stock Exchange of India Limited and BSE Limited about the scheduled board meeting. This notification aligns with Regulation 29 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Approval Process

It's important to note that any fundraising decision made during the board meeting will be subject to approvals from:

1. Shareholders
2. Stock exchanges
3. Other regulatory and governmental authorities, as applicable

The outcome of this board meeting could have significant implications for Star Cement's financial strategy and future growth plans. Investors and market watchers will likely keep a close eye on the decisions made and their potential impact on the company's market position in the cement industry.

As the meeting date approaches, stakeholders can anticipate further updates from Star Cement regarding the specifics of any fundraising initiatives that may be approved.