Comments
Pune-based valve manufacturing company Virgo Engineers Group is in the process of expanding its manufacturing capacity by setting up a new plant at Marg Swarnabhoomi, near here.
The Rs 700-crore company is a leading manufacturer of flow control valves and allied products predominantly for the oil and gas sector.
Spread over one lakh sq.ft., the company's Chennai facility is expected to cater to the “increased export demand and contribute Rs 100 crore to the company's turnover in the next three years.
Investment
Announcing the launch of the facility on Monday, Mr Jagdish Desai, CEO of the company, said Virgo has invested close to Rs 40 crore in the facility and will invest another Rs 20-25 crore to install machinery.
The company is planning invest a similar amount in setting up a foundry at its Coimbatore facility as a backward integration initiative. “This will give us a better control over the price and quality of the products besides ensuring guaranteed supply of valve castings,” he said.
The company, in the last one year, has invested close to Rs 90 crore in India in capacity expansion projects in its Pune and Coimbatore facilities and setting up this new plant. In addition, it set up a manufacturing facility in Italy and acquired an existing facility in Germany at an overall investment of €11 million.
Virgo currently has 13 sales offices in seven countries and manufacturing facilities in India, Italy, Germany and the US, and it has a base of over 2,300 customers across 72 countries.
Marg Swarnabhoomi
Mr G.R.K. Reddy, Chairman and Managing Director of Marg Swarnabhoomi, who was also present on the occasion, said Virgo's is the fourth manufacturing facility at Swarnabhoomi. Danish pump manufacturer Grundfos, the UK-based cooling tower equipment manufacturer Vanspall and auto component manufacturer Polyhose have already set up facilities which are operational too, he said.
Besides, the company has signed with Eswari Electricals (to set up a 10,000 sq.ft of distribution facility); Twindisc for a 33,500 sq.ft. of marine transmission devices manufacturing facility; TVS Kwikpatch for a 10,500 sq.ft. space for auto components; and Techpro for manufacturing equipment for water treatment plants.
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.