Pitti Laminations to expand, raises Rs.14.4 Crores

Pitti Laminations Ltd has announced that the stone-laying ceremony for Phase III expansion of the Company was performed on August 27, 2006 at their new plant situated at Nandigaon village, Mahaboobnagar District, Andhra Pradesh.

The Company is setting up a project for fabrication of steel stator bodies, machining of stator bodies and core dropping operations essentially to cater to the manifold requirements of its customer GE(USA) and domestic customer. The project estimated to cost around Rs 400 million, is expected to be commissioned in April, 2007.

The Company has raised Rs 144 million through a preferential issue in June, 2006 to part-finance the project. It will raise term loans and deploy internal accruals to meet the remaining cost of the project.

"Shri Sharad B Pitti, Chairman & Managing Director says that the project is essentially a forward integration measure and enables the Company to become a key player in domestic and international markets. The high precision and complexity involved in the proposed operations will result in value addition leading to significantly improved margins."

Source : Equity Bulls

Keywords