Kinetic Engg plans to raise Rs 100 crore

Mumbai: Kinetic Engineering Ltd., a maker of motorcycles, plans to raise Rs 100 crore ($25 million) by selling shares to American International Group Inc. and by selling overseas bonds.

New York-based AIG’s investment of Rs 30 crore would be used for meeting day to day expenses, the company said in an e-mailed statement from New Delhi.

The remaining Rs 70crore will be used for a plant that will make gearboxes for a small car being planned by Tata Motors, India’s third-biggest carmaker.