Universal Construction to set up Rs 20 crore plant in Pune

Pune-based Universal Construction Machinery, one of the largest manufacturer of construction equipments in India, is planning to set up a new plant for manufacturing innovative equipments and heavy machineries.

The proposed plant at Khed Shivapur, near Pune, will be spread across 10 acres of land out of which an area of about one lakh square feet will be utilized for actual manufacturing facility.

"We are investing around Rs 20 crore in this plant and are expecting to achieve a turnover of Rs 50 crore during the first year itself. We are planning to manufacture passenger cum material lifts, passenger lifts, batching plants and mini batching plants," said Ranjit Moray, managing director, Universal Construction Machinery.

He said Universal Construction Machinery is planning to enter into capital market in order to raise the required capital for its expansion plans. '' We are expecting to float an initial public offer (IPO) by 2007,''he said.

The company has also announced the launch of a novel rack and pinion technology driven passenger cum material lift for the first time in the Indian construction market.

The lift, requiring 24 hours to set up on any site, can be used to carry people and materials at construction sites, industrial centers, ports and shipyards. It is simple and easy to be installed and is expected to replace risk-ridden staircases and ladders now used by site supervisors and workers.

In the proposed new plant, the company plans to produce 50 units of passenger cum material lifts, 75 units of passenger lifts, 150 units of batching plants and 600 units of mini batching plants, during the first year.

The company is also planning to export the machineries to South Africa, Middle East and Sudan. The firm expects margins from exports to rise to 22 per cent of the total turnover of 35 crore next year from it's current level of 15 percent.