India Glycols on 8 August announced that the board of directors have approved to enhance the capacity of its two projects for Rs 242 crore.

During the board of directors meeting held on 7 August, they approved increasing the capacity of the grain-based distillery at its Kashipur (Uttarakhand) plant, which will grow its capacity from 300 Killolitre per day to 500 Killolitre.

The company has selected the capacity expansion plan due to its surging demand for ethanol and captive requirements.

The company has set a timeline for the expansion plant, with the first phase to increase 100 Killolitre capacity by the third quarter of the current fiscal year and the next 100 Killolitre by the last quarter of the current fiscal year. This expansion plan will cost Rs 160 crore, which will be met by internal accrual and bank financing.

The company is in the process of expanding facilities in view of the growing demand for speciality chemicals for various end-markets.

The project is being implemented in phases with a total production capacity of around 10,000 million tonnes annually. It involves a cost of around Rs 82 crore and is expected to be completed by the last quarter of the current fiscal year.

At 3:10 pm, the shares of India Glycols were trading at Rs 652 or 2.52% above its previous close of Rs 636.00 on NSE.