The Hindu Business Line : Usha Martin eyes acquisitions in US

The company is looking for a plant with an ideal capacity of 500 tonnes per month, said Mr Prashant Jhawar, Vice-Chairman of Usha Martin, at a press conference in the city on Wednesday. According to him, the plant should have operations either in crane ropes, elevators or mining.

He, however, said that nothing had been finalised. "We just wish to become the largest producer of wire rods in the globe within the next two years but I must clarify that we are not in any race," Mr Jhawar said.

It may be noted that the Kisswire, the Korean major, is the largest wire rope manufacturer with a capacity of 80,000 tonnes per annum. Usha Martin's existing capacity is 72,000 tonnes per annum.

Meanwhile, the company is hoping to start its iron mining activities sometime during this financial year.

Usha Martin has got an iron ore and a coal block in Jharkhand district. While the iron ore block is located at Daltongunj, the coal block is located at Barajamda.

Meanwhile, for the year-ended March 31, 2005, Usha Martin's gross sales jumped by 46 per cent to end at Rs 1,270.58 crore from Rs 868.77 crore. Net profit almost trebled from Rs 15.52 crore to Rs 40.87 crore.

The consolidated result of Usha Martin, which takes in accounts all its overseas operations, is even better. All the foreign companies are 100 per cent wholly owned subsidiaries of Usha Martin.

The consolidated gross revenue recorded a 44 per cent growth at Rs 1,648.48 crore as compared with Rs 1,145.39 crore in the last fiscal. Consolidated profit after tax rose to Rs 50.42 crore from Rs 15.35 crore, marking a growth of 228 per cent.

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