Chennai, April 7
Amara Raja Batteries intends to raise its capacity of automotive batteries from 3 million units to 3.6 million at a cost of Rs 16.40 crore. This takes the company's expansion programme a step further. In January 2005, the company announced a plan to raise capacity from 1.5 million units to 2.4 million at a cost of Rs 11.60 crore. Later that year, Amara Raja announced the next phase of expansion from 2.4 million units to 3 million at a cost of Rs 38 crore.
The third phase of the programme, of which the stock exchanges were informed on Friday, will be completed this financial year. The board of directors also approved the expansion of the company's industrial 2 Volt VRLA capacity by nearly 50 per cent from 240 mm AH per annum to 350 mm AH at an estimated investment of Rs 10.70 crore.