Ganesh Polytex is eyeing Rs1,000 crore revenue in the next five years on the back of growing demand for polyester fibre, both in the global as well as the domestic market
Ganesh Polytex Ltd (GPL) is eyeing Rs1,000 crore revenue in the next five years on the back of growing demand for polyester fibre, both in the global as well as the domestic market, a top company executive has said.
"Keeping in line with our expansion plans and the growing market demand, we are hoping to touch the Rs1,000 crore revenue milestone in next five years," GPL chief finance officer Gopal Agarwal said.
Currently, the company's revenue, which is growing at 30% per year, is estimated at Rs265 crore in 2010-11, he said.
GPL recycles PET bottle waste and turns it into recycled polyester staple fibre (RPSF).
The company, which is the largest player in the RPSF industry, is also setting up greenfield yarn spinning unit at Bilaspur in Uttar Pradesh with the capacity of 25,000 spindles, he said.
This project that will cost Rs125 crore will be financed through a mix of equity, debt and internal accruals, Mr Agarwal said.
GPL, which has a total installed capacity of 57,600TPA, is also planning to increase it by another 14,000TPA to take it to about 72,000TPA by FY 12-13, he said.
The Kanpur-headquartered company is also looking at entering into the plastic waste recycling business.
"We are still mulling over the project and plans for it are yet to be finalised," he said.
The company at present has two units located at Kanpur (Uttar Pradesh) and Rudrapur (Uttarakhand) furnished with latest technology and 25 PET collection centres across the country for collecting raw materials.
When asked about availability of raw materials, Mr Agarwal said that in India the total consumption of PET bottles was around five lakh tonnes annually, of which the overall recycling capacity was only 40%.
"Therefore, there is ample availability of raw materials and we do not see any problem in the future," he said.
On exports, he said, about 20% of the turnover was shipped, mainly, to Europe, while the rest was consumed at home.
"As the domestic consumption is very high, we hope to maintain the exports at the current level," he said.
On Tuesday, GPL ended 1.28% up at Rs63.40 on the Bombay Stock Exchange, while the benchmark Sensex gained 0.84% to 17,988.30.
A meeting of the Board of Directors of Viceroy Hotels will be held on 26th March to consider hiving off the Chennai Project Division
Viceroy Hotels Ltd (VHL) said that it is looking to hive off its Rs560 crore Chennai project into a separate company to cut debt on its balance sheet.
"Hiving off of the Chennai project division will help reduce debt from the books of VHL. The company is building a luxury hotel property in Chennai, which has a total debt of around Rs450 crore," VHL company secretary P Lenin Babu said.
A meeting of the Board of Directors of the company will be held on 26th March to consider hiving off the Chennai Project Division, VHL said in a filing on the Bombay Stock Exchange.
Mr Babu said the Chennai property will have a total of 387 rooms. It started construction in 2005 at an initial cost of Rs490 crore, which was later revised to Rs560 crore. Due to lack of funds the project got delayed in between and is likely to be operational in the next two to three years.
He said reduction in the debt of the parent company will enable VHL to raise fresh funds. The company's shareholders have recently approved hiving-off of the 'Bangalore Project Division' for a consideration of Rs205 crore.
"The project in Bangalore will take another one and a half years to get operational," Mr Babu added.
VHL currently operates two hotel properties in Hyderabad under the Marriott and Courtyard brand names.
On Tuesday, VHL ended 2.07% up at Rs34.55 on the Bombay Stock Exchange, while the benchmark Sensex gained 0.84% to 17,988.30.
PSL Ltd subsidiary based in Sharjah has won a contract worth $80 million from Saline Water Conversion Corporation
The Saline Water Conversion Corporation (SWCC) of the Kingdom of Saudi Arabia has awarded a contract for supply of bare line pipe to PSL FZE, Hamriyah (the Sharjah-based subsidiary of PSL Ltd, India) for approximately worth $80 million.
The project comprises construction of a water transmission system from Ras Azour in the eastern province to Hafr Al-Baten in the central system, constituting API 5L Grade X-65, 44-inch diameter pipes for a total length exceeding 350km.
Ashok Punj, managing director, PSL, confirmed that with this order from SWCC, the installed capacity of the pipe mill at PSL FZE, Hamriyah, shall be fully utilised from April 2011 to May 2012. Resources at PSL FZE, Hamriyah, are further being added to establish another pipemill of capacity 75,000MT/year (aggregating to total capacity of 150,000MT/year), and the installation of second mill is in advanced stages of completion.
Another offer of approximate value $200 million for a water transmission pipeline project, for supply of over 600km of pipe as submitted by PSL Ltd, India, and PSL FZE, Hamriyah, as consortium partners, is also under active evaluation, added Ashok Punj.
Each pipe for this particular application shall be 18m in length, and such piping applications have a very large market potential within the rapidly developing water sector within the Middle East. PSL FZE commenced operations from its Sharjah-based facility in mid-2007, with a capacity of 75,000MT/year.
On Tuesday, PSL ended 4.66% up at Rs72.95 on the Bombay Stock Exchange, while the benchmark Sensex gained 0.84% to 17,988.30.