Neha Kaushik

New Delhi, Sept. 28

Omax Autos is planning to set up a plant in Uttaranchal.

According to sources, the company is seriously considering a proposal to set up a plant in the State, which would primarily cater to Hero Honda's upcoming unit in Uttaranchal.

The investment for the project is estimated to be in the vicinity of Rs 80-100 crore.

Hero Honda is Omax's largest client, with about 67 per cent of the company's domestic sales coming from it.

The Rs 585-crore Omax currently manufactures sheet metal tubular and machined components and would be making the same components at the proposed plant.

Last month Hero Honda announced its decision to set up a new plant in tax haven Uttaranchal, to be operational by May 2007.

The plant would start with an initial capacity of five lakh units, to be scaled up to 15 lakh by 2010.

Uttaranchal has seen a rush of ancillary companies setting up units after major automotive players such as Hero Honda, Bajaj Auto and Mahindra & Mahindra announced big-ticket projects in the State.

Omax will also invest Rs 60 crore to expand capacities at its current units in Haryana.

(This article was published in the Business Line print edition dated September 29, 2006)
XThese are links to The Hindu Business Line suggested by Outbrain, which may or may not be relevant to the other content on this page. You can read Outbrain's privacy and cookie policy here.