Paper manufacturer Ballarpur Industries Ltd said on Tuesday International Finance Corp (IFC) agreed to buy new shares worth $100 million in its unit Bilt Paper BV.

Ballarpur shares rose more than 10 percent in mid-day trading after the announcement.

The deal is at an implied pre-money valuation of $600 million for the unit and will result in IFC getting a 14.29 percent stake in Bilt Paper BV, the company said in a statement.

The company is exploring the possibility of listing shares of Bilt Paper BV at an overseas stock exchange, it said.

Ballarpur had said last month that the board of IFC, the private sector investment arm of the World Bank, had approved investments in the unit and that the funds would be used to repay existing debt.