Konkan Railway Corporation Limited (KRCL) has decided to increase its authorized equity share capital in order to raise funds for its various capital expenditure projects. A press note issued by KRCL said that Union minister for railways Suresh Prabhu has decided to increase the share capital for providing more financial support to Konkan Railway. The authorized equity share capital had been increased to Rs 4,000 crore, in December 2016.
Shareholders of the corporation, at a meeting held last month, unanimously passed a special resolution for increase in authorised equity share capital for execution of various capital expenditure projects – Roha-Veer part doubling, route electrification of Konkan Railway, doubling of traffic capacity of Konkan Railway, Chiplun – Karad rail connectivity link and construction of additional loop lines and new crossing stations. Shareholders will make equity infusion of Rs 3,050 crore in tranches for infrastructure projects. All other costs will be financed through market borrowings.