SKF India (Mumbai, India) will issue Rs 50 crore (USD $11.0 million) in additional equity and Rs 38 crore ($8.25 million) in convertible debt.

The company will also split current Rs 100 shares into 10 shares at Rs 10.

The funding moves are designed to allow the company to pay down its existing debt load and fund unspecified future expansion projects.

In a press release, SKF India Managing Director Torsten Nordgren said, "The rights issue is an integral part of the company's comprehensive restructuring and will allow it to proceed with its investment plans in India, and at the same time allow us to reduce our borrowings and thereby our financial cost. This, in turn, will help improve our bottom line."

SKF India has been battered by India's continuing economic slump, combined with an ongoing battle against widespread counterfeiting of SKF bearings in the Indian market.