Murugappa Group plans Rs 250 cr capex in this fiscal

The Murugappa Group, one of India's leading business conglomerates, is planning to infuse Rs 250 crore for capacity expansion in 2015-16. The group, which had invested a similar amount in 2014-15, will mainly focus on its engineering business and systems & process through this investment.
 
M M Murugappan, vice chairman of the group, said the Rs 95-crore bicycle plant at Punjab would go on stream early next fiscal. During the first phase, the plant, which will cater to the domestic market, will have a capacity of about 1.5 million units a year. Currently, the company has three plants in Chennai, Nashik and Noida with 1.5 million units capacity each.
 
Besides the cycle business, the company will also invest in financial services in its Hosur plant and other areas.
 
Meanwhile, Murugappa Group has reported 11 per cent growth in overall revenues to Rs 26,926 crore in 2014-15 as compared with Rs 24,350 crore, a year ago. Profit has increased to Rs 1,283 crore in 2014-15 as compared to Rs 971 crore in 2013-14.