International Finance Corporation plans to make an equity investment of $23 million (Rs 158 crore) in Srinivasa Farms Pvt. Ltd (Suresh Rayudu Chitturi - MD) to help the Hyderabad-based poultry company expand its operations.
The fresh capital will help Srinivasa expand its layer, broiler and breeding operations by setting up additional farms and hatcheries, the World Bank’s private-sector investment said in a disclosure.
It will also the company expand its feed mills and add soya refineries, set up a food park and set up chicken and egg processing businesses, IFC said.
Srinivasa Farms was founded by chairman Jagapati Rao Chitturi in 1965. The Chitturi family collectively owns about 80.04% of the company, the disclosure showed.
The company operates an integrated layer and broiler breeding business and has presence in soya, feed, layer and broiler breeding and contract farming.
IFC said the company’s total expansion project cost is estimated at $83 million and likely to create over 5,000 jobs.
The World Bank arm said its own global expertise in the poultry sector, technical advice on best operating practices and improvement of food safety standards will help Srinivasa Farms grow its operations.