Godavari Biorefineries (Godavari), one of India's leading and sustainable manufacturers of foods, biofuels, specialty chemicals, power and related products, using sugarcane as the primary feedstock, today announced that it has raised USD 15 million (Rs 900 million) in equity, from funds managed by Mandala Capital. 

This investment in research and innovation to address the Global needs for Green products and Chemicals is part of Godavari's strategy to enhance returns by strengthening the portfolio of higher-margin products to address the significant and growing demand for chemical products made from renewable feedstock.   Godavari's strength in manufacturing and expertise in renewable feedstock provides high yields and low conversion costs.

The funds invested by Mandala Capital will be used for Phase I of this strategy, which involves a new manufacturing plant for specialty chemicals, an increased capacity for ethanol production, debottlenecking of existing plants and strengthening the company's utility infrastructure. It will also fund an expanded facility for research and development.

Samir Somaiya, Chairman, Godavari Biorefineries said, "Research and sustainability is at the core of all that we do. Our focus is on developing new production processes to manufacture specialty and high performance chemicals using biomass as raw materials within the value chain.  For us, innovation in green chemistry is a source of growth and expansion for the company as well as our commitment to the triple bottom line of social, ecological and financial gain."

Uday Garg, CEO of Mandala Capital said, "We have followed the progress of Samir Somaiya and his team at Godavari for several years and witnessed first hand the transformation of the Company from a traditional sugar business into an integrated bio refinery. The "more value per ton" strategy is ambitious and innovative. Early successes in supplying complex chemicals to the exacting requirements of global players demonstrate the viability of the process chemistry being developed by Godavari, its impact to the bottom line and the ability of the team to innovate sustainable solutions for customers on a commercial basis."