London-based steel major Caparo Group's expansion drive in India saw the opening of a Rs 100-crore plant in Chopanki on Monday to manufacture world-class fasteners for the country's fast growing automobile sector.
Maruti and Hero Honda will be among the clients for fasteners manufactured at this industrial township on the border of Haryana and Rajasthan. The Chopanki plant will be the group's seventh in India and five more are planned.
Caparo's founder-Chairman Lord Swraj Paul and CEO Angad Paul were present at the inauguration of the plant by British High Commissioner Sir Michael Arthur.
Angad Paul said he expects the Indian operations, which currently contributes 6-7 per cent of the group's global revenues, to "rise to 10 per cent next year and to 20 per cent by 2010."
Caparo's Indian operations had posted a revenue of Rs 200 crore last year, which is likely to further rise to Rs 350 crore by the end of this year. This will rise to Rs 1,000 crore by 2009, the company said.
Angad Paul said Caparo, which recently acquired Steel Tubes of India Ltd, was in talks to acquire another Indian company by the end of this year. However, he declined to divulge further details.
Caparo has lined up an investment of over Rs 100 crore for its Chopanki plant, while it has already invested Rs 40 crore for this facility.
The plant has started operating with a capacity of 6,000 tonnes with completion of the first phase and production would rise to 26,000 tonnes in the next 12-18 months when all four phases are completed.