| Work Detail |
Shirdi Sai Electricals (SSEL) has chalked out a plan to invest around Rs 1,000 crore to expand transformers manufacturing capacity. The move will enable the company to cater to the growing domestic and international demand. The investment will also be utilised to set up an ingots to conductor manufacturing unit in YSR district, Andhra Pradesh.
The company will use internal accruals to execute the plans over the next eight months to a year. SSEL will build a capacity of up to 53,000 MVA transformers annually, up from the present 33,500 MVA.
The capacity expansion will be across the companys Kadapa unit (currently at 10,000 MVA), facility at Naini in Uttar Pradesh (20,000 MVA), and Indo Tech Transformers, an entity of the Group, which has an installed capacity of 3,500 MVA. The scale up will take Kadapa plants capacity to 25,000 MVA, Indo Tech Transformers unit near Chennai to 8,000 MVA, and at Naini the vision is to increase the capacity utilisation to 100 percent from the current 10-15 percent.
SSEL is infusing Rs 300 crore to set up the ingots to conductor unit in Kadapa through its wholly-owned arm Shuchi Alloys and Conductors Technologies. The capacity of the plant is 300 tonne of ingots to conductors per day, and half of the production will be consumed by the companys EPC transmission business, while the rest will be sold in the open market.
The investment will create direct and indirect employment opportunities and spur development of the areas around the plants. |
