|
|
Elecon Engineering to go for Rs 45-cr expansion plan
BY OUR BUSINESS CORRESPONDENT
16 September, 2005: Elecon Engineering has announced a Rs 45-crore plan for capacity expansion and modernisation.
The funds for this will be raised either through an issue of shares, foreign Currency Convertible Bonds, private placement, preferential allotment of securities ADRs, GDRs or through a rights issue.
Elecon announced at its 45th annual general meeting that the plans were aimed at meeting the growing demand for the firm’s product and also to honour the orders worth Rs 565 crore. Elecon is a material handling equipment and gear maker.
The company is focusing on increasing production capacity this fiscal. A company spokesperson said this will be mainly achieved through introduction of state-of-the-art technology.
Elecon aims to become a debt free firm in a couple of years, a company statement said. The firm has posting revenue growth of a healthy 60% a year.
Elecon Engineering Managing director Prayasvin Patel said the company’s growth will be driven by a focus on research and development and proliferation of state-of-the-art manufacturing facilities.
The firm has also put in place a mechanism to cut costs and increase productivity.
Elecon Engineering, the pioneers in manufacture of material handling equipment in the country, also aims to make it presence felt globally.
The firm founded in 1951 has designed and implemented many landmark products.
Elecon has made a mark through its equipment in many sectors including fertilizers, cement, coal, power generation, chemicals, steel plant sand port mechanisation.
BY OUR BUSINESS CORRESPONDENT
|
