Finolex Industries Ltd expands PVC Pipes capacity, to unlock value of its Pune property

Finolex Industries has announced about the expansion of its PVC Pipes Capacity. The Company has expanded its PVC Pipes capacity from 67,000 MT in the previous year to 74,000 MT during 2006-07. The Company has acquired 20 acres of land at Urse, Pune for setting up of a new plant for manufacturing of PVC Pipes. After commissioning of the new plant at Urse, the total installed capacity for manufacturing of PVC Pipes would be 100,000 MT per annum.

New Projects

Power project:

The 43 MW power plant is under construction. It is expected that a part of the power so generated can be marketed and sold. Given the current power deficit in the State, this is an opportunity for the Company to generate additional revenue. The estimated completion time is November 2007.

Special Economic Zone [SEZ]: The Company has more than 70 acres of prime land vacant at its Pipes plant in Chinchwad, Pune. The Company intends to unlock the value of this property. Various options such as setting up of SEZ as a developer, or outright sale of the property to a developer are under active consideration and the Company is hopeful of concluding the proposal shortly.

Breakwater facility: The Company's port at Ratnagiri is currently a fair season port i.e. it is closed during monsoon. The Company has been planning to construct a Breakwater to make the port all weather. The Company has already received Environmental clearance for the said construction and the order has been placed on Afcons for construction of Breakwater.

Source : Equity Bulls

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