Comments
Building materials firm HIL Ltd (formerly Hyderabad Industries Ltd) will be commissioning its ₹130-crore greenfield plant for pipes and fittings at Golan, near Surat, by April 2018.
“This will increase our production capacity of pipes and fittings from the existing 7,500 tonnes per annum to about 20,000 tpa, and allow us to make an entire range of products,” Dhirup Roy Choudhary, MD & CEO of HIL, told BusinessLine here.
Pipes and fittings contribute ₹40 crore in revenue to HIL, part of the CK Birla Group. “However, we hope to take this to ₹400 crore in the next four years,’’ said Choudhary.
In addition to the new facility, HIL is also expanding its Faridabad unit.
HIL is a leading player in asbestos cement sheet (ACS) for roofing, from which it derives 70 per cent of its revenue at present. Its total revenue in FY17 was ₹1,078 crore with a net profit of ₹54 crore.
Non-asbestos roofingThe company has stepped up R&D in the recent past in non-asbestos roofing. “We are at an advanced stage of developing a new product which will be a game-changer in non-asbestos roofing,” Choudhary said. A prototype was successful and the product is likely to be launched by April 2018, he added.
HIL is also evaluating inorganic growth options in the building solutions segment. “As our balancesheet is clean with zero debt, we do have an appetite for buys. We are looking for a technology based candidate for acquisition in India or abroad,” said Choudhary. The size of the acquisition could be $50-70 million, he added.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.