The Hindu Business Line : Yash Birla group to invest Rs 550 cr

The Rs 2,300-crore Yash Birla Group will be investing approximately Rs 550 crore in its several businesses in 2007-08, according to Mr Yashvardhan Birla, Chairman.

The Group has five major businesses - engineering, automobile parts and auto components, textiles, power and power solutions, and lifestyle, which includes publication, spas and others.

Speaking to newspersons, Mr Birla said that all these sectors have been recording healthy growth and investments will be made to further boost the growth rate.

Out of Rs 550 crore, around Rs 130 crore will be invested in Zenith Birla, an engineering company. The Group will be investing Rs 200 crore in the textile sector and Rs 100 crore in auto components.

The existing capacity of Birla Cotsyn India Ltd, the Group's textile venture, is 22,500 spindles, which will be increased to 65,000 spindles.

The company, which has a plant in Maharashtra, will also move into weaving, ginning and pressing.

"Our ultimate aim is to produce fabric. Later, we will enter the retail market with our own brand but after only establishing our fabric in the market."

"We are looking for a strategic partner for a foray into the solar energy sector. The partner will help us with technology and also in our capability to sell the products."

Mr Birla was in the city to promote the upcoming public issue of Zenith Birla.

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