Tata Ryerson lines up Rs 200 cr for spread

The firm is targeting a Rs 800 cr turnover this year.

Tata Ryerson, the 50:50 joint venture between US-based Ryerson Tull and Tata Steel, has lined up an investment of Rs 200 crore for its expansion.

Sandipan Chakraborty, managing director, Tata Ryerson, said the vision was to reach two million tonne of processing and distribution volume by 2008.

During the current year, the company would augment processing capacity by 05 million tonne and invest around Rs 80 crore over two years to support its growth plan.

The company was also installing cold rolling processing facilities in Faridabad and Pune and adding another 15 selling locations by 2007.

Addressing a press conference, Chakraborty said the company would start plate processing in South India.

The company was hoping to end the year with a turnover of Rs 800 crore. Last year, the company posted a turnover of Rs 588 crore with a compounded annual growth rate of 50 per cent.

The expansion was likely to be financed by promoters, banks and financial institutions.

The company also had some global plans which, Chakraborty said, would be finalised next year.

Tata Ryerson's facilities at Jamshedpur and Pune could handle over one million tonne of flat steel products a year.

The company's hot rolled coil processing facilities are in Jamshedpur and Pune, cold rolled coil processing units of both commercial and precision types are also in Jamshedpur along with high precision roll forming lines for galvanised corrugated sheets.

Tata Ryerson has 16 service and sales points throughout the country.