Finolex eyes high revenue from its cable plant

Mumbai: Pune-based electrical and communication cables manufacturer, Finolex Cables, is targetting a Rs 600 crore revenue from its upcoming Extra High Voltage Cable (EHVC) plant, a top company official said.

'In the first year of production, the plant is likely to generate a revenue of Rs 250 crore, but we expect an annual revenue of Rs 600 crore from the plant at its full capacity,' Finolex Cables' Managing Director Deepak K Chhabria said.

The plant is likely to achieve full scalability in three years, Chhabria said adding that with a 1,000 km capacity per year, the plant is expected to start production over the next 18 months.

Finolex has entered into a joint venture with J-Power Systems Corporation of Japan to strengthen its power cable segment.

'The joint venture company with a 49:51 equity would offer complete turnkey services in EHV cables up to 500 KV capacity in India and abroad,' Chhabria said.

It would also offer services of turnkey installation and connectorisation of the complete circuit along with manufacture and supply of jointing kits.

In addition, the new company would also manufacture termination accessories, he said.

The company has bought 25 acres of land at Shirval, near Pune, to set up the plant.

'Since the gravitational force does not allow the horizontal manufacture of such cables, we are setting up a 110 metre tall tower to manufacture cables,' Chhabria said.