Incap to double Indian revenues

Incap Contract Manufacturing Services Pvt Ltd, a subsidiary of Finland-based Incap Corporation, which recently acquired the contract manufacturing unit of TVS Electronics in Tumkur for a consideration of Rs 42 crore, plans to double the revenues out of the facility by fiscal 2008. The facility's revenues were 12 million euros during fiscal 2007.

"We are envisaging a 100 per cent growth during the current fiscal. We will be adding three more production lines at the Tumkur facility over the next three years. Each line will involve an investment of one million euros. The company will also be looking at increasing the headcount at the facility in line with the growth," Juhani Hanninen, president and chief executive officer, Incap Corporation, said.

When asked if Incap is looking at other such acquisitions in India, Hanninen said, "If there are any possibilities, we will look into them. We are not ruling out such options."

Commenting on the rationale behind selling off the Tumkur unit, V A Raghu, director, TVS Electronics Ltd, said, "We want to concentrate on our other two lines of businesses "� transactions business and customer support. Moreover, there were not enough growth opportunities offered by this line of business. Since we wanted to re-focus our strategy, we decided to sell the contract manufacturing unit to Incap Corporation."