Schneider Electric Infrastructure Approves Enhanced ₹291.2 Crore Capex for Kolkata Plant Expansion

In a major move to bolster its domestic manufacturing footprint and accelerate export growth, the Board of Directors of Schneider Electric Infrastructure Limited (SEIL) has approved a significant upward revision to its ongoing capital expenditure (capex) plans for its Kolkata Medium Voltage Components (KMVC) facility.

Major Upscaling of Medium Voltage Component Production

The primary component of the revised investment targets the manufacturing capacity of Medium Voltage (MV) Vacuum Interrupters at the Kolkata plant.

Enhanced Investment: The board approved an increase in capital expenditure from the previously earmarked ₹138 crores to ₹184 crores. The incremental bump of ₹46 crores is dedicated toward expanding the overall project scope and driving aggressive capacity enhancements.

Aggressive Capacity Targets: The initial goal of scaling production up to 180,000 units per annum has been upsized to reach a target of 250,000 units per year. This target represents a massive expansion over the facility's legacy capacity baseline of 80,000 units per year, which has recently been operating at a high utilization rate of approximately 90%.

Expanded Product Lines: The new production footprint will encompass both MV Vacuum Interrupters and specialized MV Vacuum Circuit Breaker assembly lines.

Timeline and Funding: The company expects this expanded capacity to be fully operational by the first quarter of Financial Year 2028-29, setting a hard target date of June 30, 2028. The expansion will be funded through internal accruals, debt borrowings, or a combination of both.

Boost to Mechanism Assembly and Export Strategy

In tandem with the primary vacuum interrupter expansion, the board greenlit a second capex revision aimed at securing future growth and international export channels.

Capex Revision: Investment towards establishing a dedicated Mechanism Assembly Line at the KMVC facility was revised upward from ₹90.6 crores to ₹107.2 crores.

Strategic Rationale: Management noted that the combined investments are designed to align closely with Schneider Electric's broader manufacturing localization strategy, support escalating global export opportunities, maximize capacity augmentation, and ensure strict business continuity.

With these combined updates, the total active capex footprint at the Kolkata facility scales to ₹291.2 crores (up from an initially planned ₹228.6 crores across earlier 2022 and 2025 proposals).

Shares of Schneider Electric Infrastructure Limited was last trading in BSE at Rs. 1481.65 as compared to the previous close of Rs. 1453.30. The total number of shares traded during the day was 45263 in over 2647 trades.

The stock hit an intraday high of Rs. 1490.00 and intraday low of 1422.65. The net turnover during the day was Rs. 66119817.00.

Source : Equity Bulls

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SchneiderElectricInfrastructure INE839M01018 HeavyElectricalEquipment Capex