Marg Ltd, a Chennai-based diversified infrastructure company, is planning to promote projects worth Rs 2,760 crore over the next three years. These projects include setting up a ship building, expansion of the Karaikal port and other residential and commercial projects. The company is also planning to set up a power plant worth Rs 800 crore.
After announcing company’s results at Chennai last week, G R K Reddy, Marg, Chairman and Managing Director said, under the infrastructure vertical the company had set up a port at Karaikal, as part of phase II plan. It is planning to increase its capacity to 21 million tonnes from the current five million tonnes with an outlay of Rs 1,500 crore which would be completed by next year.
Marg is also planning to set up a ship repair and a port near Chennai with an outlay of around Rs 400 crore he told Business Standard after announcing the company’s financial performance.
Reddy added currently the marine infrastructure business contributes 20 per cent to the company’s overall revenue which will be increased 30 per cent. He added, over the next two years the company is planning to develop 3,000 houses, of which 60-70 per cent will be on the affordable focusing mainly on middle and lower middle class with a total outlay of Rs 650 crore. Commenting on the commercial space development, Oscar Braganza, executive director - real estate and industrial clusters, Marg Ltd said, “We have acquired 7.3 acre of land at Karapakkam, on the outskirts of Chennai, where we are developing a commercial project with an outlay of Rs 710 crore. The project includes shopping mall, 252 room hotel, service apartments, office space and a theatre. The project will be completed by 2012, he added.
Further Reddy said, tthe company is also planning to set up a power plant with a capacity of 200 mega watt with an outlay of Rs 800 crore. The project would come near Marg Swarnabhoomi, an integrated township project, promoted by Marg. “Our township project itself would require 100 mega watt of power, we have started looking for land and doing other due diligence,” said Reddy.
Meanwhile the company has engaged a private consultant for business restructuring, Reddy said, the company is contemplating to restructure its business segments for improving productivity, operational efficiency and better use of existing resources.
The company has reported a profit after tax of Rs 11.4 crore during the quarter ended June 30, 2010 an increase of 2.7 per cent compared to same period last year. Income from operations rose to Rs 174.8 crore as compared to Rs 122.7 crore, an increase of 42.5 per cent.