Belgium bank sanctions $ 6.5 mln loan to India WSRL .
BOMBAY 1996-08-28
Belgium 's Kredietbank has approved a $ 6.5 million loan to India 's Welspun Stahl Rohren Ltd ( WSRL ) to part-finance its submerged arc welded pipes plant , the Indian company said in a statement on Wednesday .
The loan is at LIBOR plus one percent , it said .
The loan , maturing in six years , is guaranteed by Indusind Bank for $ 3.5 million and by UTI Bank for $ 3 million , it said .
The WSRL plant , located in the western Indian state of Gujarat , will have a capacity to manufacture 175,000 tonnes per annum of longitudinal pipes and 25,000 tonnes per annum of spiral welded pipes , the statement said .
The longitudinal pipes plant is expected to be complete by the second quarter of September 1997 and the saw arc welded pipes plant by September 1996 , it said .
WSRL is part of the Welspun group which has a presence in the cotton yarn , terry towels and polyester yarn industry , the statement said .
-- Bombay newsroom +91-22-265 9000