The company intends to invest the funds in the sustainable expansion of production capacities at the company’s site in the Indian state of Madhya Pradesh.
In the past years, the company has already initiated various transformative measures for adopting a resilient and more sustainable position. JK Tyre informed that the new loan will help to continue this transformation, for example by allowing the boiler for the expansion facility to be operated using biomass rather than coal.
In recent years, DEG has geared its strategy more and more towards shaping solutions for a sustainable and economically successful transformation together with its customers. This also includes using natural resources as responsibly as possible. DEG has further expanded its range of expert advice and funding offers to include services such as resource efficiency checks.
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“We are pleased to be associated with KFW-DEG for providing funding of EUR30 mn. for our Passenger Car Radial (PCR) tyre expansion project being set up for an estimated cost of EURI 14 mn. The said investment will further strengthen JK Tyre’s market presence in the PCR segment and foster economic and social development in the Country. JK Tyre, is a Green Company and is committed to reducing carbon intensity by 50% by 2030. Sustainability is at the core of it’s activity, be it manufacturing excellence or development of next-generation technological advanced products,” said Raghupati Singhania, Chairman & Managing Director of JK Tyre & Industries.
On Friday, the shares of JK Tyre closed flat at Rs 408.10 on the BSE.
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