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MACHINIST - Tube Investments plans Rs 75 crore capital expenditure this year

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Tube Investments plans Rs 75 crore capital expenditure this year
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Written by Subash S   
Tuesday, 08 September 2009

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Chennai: Tube Investments of India Limited (TII), a part of the USD 2.4 billion Murugappa Group, has chalked out capital expenditure plans of Rs 75 crore this year, in order to modernise & expand capacities in existing plants and revamp it's whole range of products by next year. TI Metal Forming will set up a new plant at Sanand in Gujarat to manufacture Tata Nano's door frames with an investment of around Rs. 30 crore.

Mr. L. Ramkumar, Managing Director, TII, said that the funding for the proposed investment plans will be from internal accruals.

Reducing its dependence on auto companies, TII will bring out a host of new products and is actively considering the manufacture of high-value industrial chains, aluminium, stainless steel & titanium-based tubes, boilers, aluminium and carbon fibre-based bicycles etc. With this the company will be expanding to other sectors such as railways, energy, power transmission solutions and infrastructure sectors.

Mr. Ramkumar also said that the company was open to domestic and international acquisitions and collaborations.

Tube Investments of India consists of TI Cycles of India, Tube Products of India, TI Metal Forming (including Chains).

Expecting orders from the Indian Railways, the Metal Formed Products segment has targeted a turnover of Rs 180 crore in the next three years. TI Metal Forming is also expanding its capacity for the purpose.

TII is the market leader in precision steel tubes & roll-formed car door-frames in India and the second largest motor cycle chain manufacturer in India.

In addition to diversifying into new areas and introducing new products, TII will expand its dealer network in order to expand its business.

 
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