Balkrishna Paper Mills to enter real estate, secures 100 Cr ICDs

Balkrishna Paper Mills Ltd's Board of Directors has approved a significant strategic shift and funding plan. The company will commence the business of real estate development and allied activities, aiming for strategic diversification, optimal utilization of existing land assets, and long-term shareholder value creation. The estimated investment for this new venture will be determined based on project feasibility. Additionally, the Board approved availing Inter Corporate Deposits (ICDs) totaling up to 100 Crore from two related parties, S P Finance and Trading Limited and Sanchna Trading and Finance Limited. This includes 50 Crore for FY2026-27 and another 50 Crore for FY2027-28, in one or more tranches. These unsecured ICDs, subject to shareholder approval, will carry an interest rate of up to 12% and are intended to meet working capital requirements, repay debts, and fund the new real estate development business.