Texmaco Rail received approval from its board on 15 September to raise fresh capital up to Rs 1,000 crore by way of issuance of equity shares through QIP (qualified institutional placement).

The issuance is subjected to approval from shareholders and any other regulatory/statutory approvals that may be required.

The board has also approved raising funds by the issuance of equity shares of the company to promoters/promoter groups through preferential issues for an amount not exceeding Rs 50 crore.

It is subject to approval from shareholders and any other regulatory/statutory approval that may be required on a preferential basis for cash.

In August, the company entered into an alliance with Hindalco Industries for manufacturing aluminium rail wagons and coaches.

The company will put in its technical expertise and will be responsible for design, production line, providing a skilled workforce, and setting up the factory. In contrast, Hindalco will provide profiles, sheets, and plates of its unique aluminium alloys, with its fabrication and welding expertise.