Texmaco Rail To Acquire Steel Casting Foundry Of Simplex Castings
2019-04-26 Merger and Acquisitions Metallurgical Industries Western India
Texmaco Rail & Engineering Limited has informed that the board of directors of the company at its meeting has approved acquisition of a steel casting foundry, located at Urla Industrial Estate, Raipur - 493221, Chhattisgarh, from Simplex Castings Limited, as a going concern on a slump sale basis, which shall result in an approximate capacity addition of more than 50% for the Company.
(a) | Existing capacity | 30,000 MT |
(b) | Existing capacity utilisation | 60% |
(c) | Proposed capacity addition | 12,000 MT |
(d) | Period within which the proposed capacity is to be added | Immediate |
(e) | Investment required | INR 87.50 Crores |
(f) | Mode of financing | Internal and Bank loan |
(g) | Rationale | To complement the existing product range and to cater to increased demand pattern. |