The Hindu Business Line : Shetron targets Rs 500-cr turnover

Shetron Ltd, manufactures of battery jackets and food packaging, has targeted Rs 500 crore turnover through organic and inorganic route to cash in on the huge potential for packaged food cans sector.

The company has decided to raise Rs 80 crore through private equity and debt to expand its metal packaging capacity to 300 million units from the current 40 to 50 million units.

Shetron logged a turnover of Rs 80 crore during fiscal 2005-06 with a net profit of Rs 9.6 crore.

Mr Diwakar Shetty, Managing Director, said apart from being a leading supplier to the Indian companies exporting gherkins, mango pulp and coffee, the premium metal cans manufacturing company also exports the product to Asian and African markets.

Joint venture

Mr Shetty told Business Line that Shetron has also set up a new joint venture with Metropak of Denmark, to produce 150 million twist-off caps per annum for bottles used by the processed foods industry.

The Rs 7-crore project with an equity of Rs 1.99 crore and Rs 4 crore debt funded by the Danish Government's IFU, an industrialisation fund for developing countries, is expected to start production by January. Shetron was trading in twist-off caps so far.

The new unit would be coming up in its existing facility at Bommasandra near here.

Shetron decided to focus on food sector as it offered greater opportunity, said Mr Shetty adding the company also had plans to enter the fruit and soft drinks beverage packaging cans.

On acquisition plans, Mr Shetty said the company was currently looking at opportunities in Europe and India for future growth.

More Stories on : Outlook | Packaging

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page