Plans Rs 500 cr IPO in 2011.
India’s second largest fiber glass composite products maker EPP Composites Pvt Ltd, is planning to invest Rs 250-300 crore for setting up an integrated composite complex near Rajkot.In the first phase, the Rajkot based company has plans to pump in Rs 70 crore.
“Our vision is to become world’s leading company for fiber glass composites products by 2020 and the integrated complex is one big step towards this. We are setting up an integrated composite complex on 100 acres land with an overall investment of Rs 250-300 crore”, said Jayraj Shah, Director of EPP.
He said, “We have acquired the land and now the process of converting it into non agriculture is on. We intend to begin work at the site June this year.”
The first phase of the project will be commissioned by April 2011 and the company will shift all its existing manufacturing units into the complex.
Once the complex is complete, EPP is expecting a six fold jump in its production from 5,000 tonnes to 30,000 tonnes per annum, according to Shah.
The company has also planned a solid waste recycling unit in the complex.
Meanwhile, EPP is also in talks with some overseas players for a joint venture.
“We are in talks with two European companies and one Australian company for a join venture to expand our network globally. The JV is expected to be completed in six months,” he said.
After completion of the first phase of the project, EPP is also considering to come up with an initial public offer to the tune of Rs 500 crore.
With a steady growth of about 25 per cent year on year, EPP has reached a turnover of Rs 70 crore and aims to clock Rs 250-270 crore in the next five years.
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