Ashok Piramal group company, PMP Auto Components, has started production of wiping systems at its Satara facility while eyeing a Rs 240-crore revenue from across all products by the end of this fiscal, a top company official said.
Initially, the company plans to manufacture half-a-million per annum of wiping systems at Satara and later ramp it up to one million.
"The wiping system plant at Satara will cater to the original equipment manufacturers (OEMs), both domestic and overseas. We have invested Rs 20-crore for this purpose in the plant," PMP Auto Components' Executive Director and Chief Executive Officer, S N Somani, told reporters here today.
The company is eyeing Rs 240-crore revenue from across all its products in FY 12 as against Rs 175-crore in FY 11, he said.
PMP Auto Components acquired two wiping system plants--Hungary's Bakony Wiper Systems and the Czech Republic-based PAL International--in 2007 and 2008, respectively.
"We have seen a good opportunity to grow the wiping system business and have adopted an organic as well as inorganic strategy (for growth)," Somani said.
PMP Auto Components manufactures advanced technology alternators, wind shield wiper systems, wind shield washer system, oil pressure switches and starter motors.
The company has manufacturing plants at Mumbai, Satara and Rudrapur in India while one at Prague in the Czech Republic.
The company has a 2.5% market share in wiping system globally and 7% in the European market.
"We plan to increase our market share up to 10% by 2016," he said.
The auto component-maker plans to invest around Rs 80-100 crore over the next two-years and aims to be among the top five suppliers to global OEMs for wiping system business in the next five-years.
"We are always open for acquisitions in both domestic as well as overseas markets," Somani said.
The company supplies components to Volkswagen, Skoda, Fiat, Suzuki, Peugeot-Citroen and Volvo in the overseas markets. On the domestic front, the company has clients like Tata Motors, Mahindra & Mahindra, Maruti Suzuki, Eicher and Simpson.