Texmaco Rail To Acquire Steel Casting Foundry Of Simplex Castings
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. |
