New Delhi, India, January 21, 2025: International Finance Corporation (IFC) has sanctioned a $100 million Sustainability-Linked Loan (SLL) to JK Tyre, a leading Indian tyre manufacturer with a global presence. The funding includes $30 million to JK Tyre & Industries Limited and up to $70 million for Cavendish Industries Limited (CIL), a subsidiary of JK Tyre. JK Tyre is a flagship company of JK Organisation, a global conglomerate.
The funding will support the expansion of tyre manufacturing capacity, focusing on Passenger Car Radial (PCR) tyres at JK Tyre's Banmore plant in Madhya Pradesh and Truck and Bus Radial (TBR) tyres at CIL’s Laksar plant in Uttarakhand. The initiative aims to promote energy-efficient tyre production, strengthen local supply chains, and create jobs.
Dr. Raghupati Singhania, Chairman & Managing Director of JK Tyre & Industries said “We are delighted to strengthen our relationship with IFC, securing a $100 million Sustainability-Linked Loan (SLL) to fund our growth plans. By aligning financing to sustainability goals, we aim to drive positive environmental and social impact while achieving our growth objectives. This reaffirms our commitment to sustainable development, while embracing a holistic approach to bolster our presence in key product segments.”
Riccardo Puliti, IFC’s Regional Vice President for Asia and the Pacific, said “Sustainable manufacturing is key to realizing India’s green ambitions. The enduring partnership between IFC and JK Group demonstrates our shared commitment to this vision. Our latest investment will drive climate-smart manufacturing, enhance supply-chain integration, create quality jobs, and propel India towards self-reliance in domestic production. The SLL, a first in India’s tyre industry, aims to set a benchmark and catalyze widespread adoption across the manufacturing sector.”
About IFC
IFC — a member of the World Bank Group — is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2024, IFC committed a record $56 billion to private companies and financial institutions in developing countries, leveraging private sector solutions and mobilizing private capital to create a world free of poverty on a livable planet. For more information, visit www.ifc.org.
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About JK Tyre & Industries Ltd.
The flagship company of JK Organisation, JK Tyre & Industries Ltd is amongst the top 20 tyre manufacturers in the world with 11 globally benchmarked ‘sustainable’ manufacturing facilities - 9 in India and 2 in Mexico – that collectively produce around 35 million tyres annually. Pioneering Radial technology in India, the Company produced its first radial tyre in 1977.
JK Tyre’s unwavering commitment towards innovation is reflected through its state-of-the-art global research and technology centre the “Raghupati Singhania Centre of Excellence” in Mysore, which houses state-of-the-art testing and validation equipment.
JK Tyre secured ‘Best in Class’ rating in ESG performance in recognition of its superior environment, social and governance (ESG) practices.
JK Tyre has been awarded the most coveted Safety award in the world - the ‘Sword of Honour’ for Safety across all its plants by the British Safety Council, UK. JK Tyre has also been recognized among the India’s top 30 Most Sustainable companies by Business World and JK Tyre is India's first tyre company to join RE100.
For more information, visit www.jktyre.com
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