Nicco Corporation Ltd (NCL), the flagship of Rs 600 crore Nicco Group, is likely to commission a Rs 11 crore extra high voltage(EHV) cable manufacturing facility at Baripada, Orissa, next month.
The EVH plant, based on indigenously developed technology, is part of the company's plan to substantially enhance its EHV cable manufacturing capacity and product mix.
Proceeds from the rights issue of equity shares are being largely utilized to finance the modernisation and upgradation of the company's cable manufacturing units at Shyamnagar in West Bengal and Baripada, Orissa.
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Nicco Corporation has also changed its accounting year to coincide with the calendar year to meet the restructuring objectives of various businesses which is currently being done with assistance from Industrial Credit & Investment Corporation of India's (ICICI) Consulting division.
Nicco Corporation had earlier engaged the consulting division of Industrial Credit & Investment Corporation of India to carry out a value chain re-architecture exercise to reduce the manufacturing cycle time and improve productivity.
The company posted a turnoverof Rs 312.67 crore and a net profit of Rs 4 crore for the nine-months ended December 31, 1997 .
Gross profit stood at Rs 27.33 crore.
The company has recommended a dividend of eight per cent per annum for the period ended December 31, 1997.
Earlier more than a hundred employees opted for the voluntary retirement scheme at the company's cable factory in Shyamnagar.