Tata Coffee on Thursday received the board’s approval for the capacity expansion of its Vietnam-based wholly-owned subsidiary firm at an investment of Rs 450 crore.
Read More: DLF mulls first bond issue in three years: Report
The board has approved the setting up of an additional 5,500-tonne freeze-dried coffee facility in Vietnam, the company said in a regulatory filing.
Tata Coffee said the additional capacity would be created with an investment of USD 53.3 million (approximately Rs 450 crore).
Read More: Wedding Effect As Gold Rate Rises In India: Check Price In Your City On November 30
The funds will be sourced from internal accruals and bank financing, it said.
The company said the current capacity of Tata Coffee Vietnam Company is about 5,000 tonnes. About 96 per cent of the total capacity is under utilisation.
Read More: How To Redeem Sovereign Gold Bonds After 5 Years? Know Complete Process Here
The additional capacity which is proposed to be added in next two years aims to cater to growing demand for freeze-dried product, it added.
