MRF inks MoU for Rs 4500 cr expansion in Tamil Nadu

MRF, one of the major tyre makers in country, on September 10, 2015 signed an memorandum of understanding with the Government of Tamil Nadu to invest Rs 4500 crore to expand its tyre manufacturing plants in Tamil Nadu. “The company has signed the memorandum of understanding with the Government of Tamil Nadu to invest not less than Rs 4500 crore in its plants at Perambalur and Arakonam in Tamil Nadu over a period of 7 years,” said MRF in a BSE filing.
 
MRF currently has a capacity of making 1.2 lakh tyres a day across its plants in Tamil Nadu, Hyderabad and Goa. The proposed expansion would bring in 1.1 times the investment as turnover.
 
Besides in Tamil Nadu, the company is also planning to invest Rs 1,500 crore in Goa.