Tube Investments of India
Tube Investments of India
Tube Investments of India Ltd.
Murugappa Group to spend Rs 450 crore on expansion

With an eye on 20 per cent growth, the city-based Murugappa Group is planning to invest around Rs 450 crore to complete its expansion plan and consolidate its business.

Addressing reporters here on Friday, A Vellayan, Executive Chairman of Murugappa Corporate Board, said that he is optimistic about 20 per cent growth in the current financial year.

“The year may have been a year of mixed performance but the group has invested `850 crore in acquisitions,” he said.

The group acquired stakes in companies like Shanthi Gears, Liberty Phosphate, Liberty Urvarak, Thukela Refractories, Isithebe, Andhra Pradesh Gas Power Corporation besides consolidating stake in Financiere C10, S.A.S (Sedis), France and buying out joint venture partner Cargill’s stake in sugar refinery Silk Road Sugar Pvt Ltd.

Its sugar arm EID Parry completed the merger of two plants of the subsidiary Parrys Sugar Industries Ltd with itself. The total capital expenditure last year was `1,750 crore.

The decontrol of sugar will boost revenue of the group, Vellayan said adding Cholamandalam Investment and Finance Co and Chola MS General Insurance are doing well.

He also said that Tube Investments of India has invested towards the large diameter project and has signed an MoU with the State government in this regard. Land has been acquired in Tirutanni and the project is at implementation stage, he added.