KKN to foray into maufacturing sector

Kolkata: Kolkata based KKN group of companies will diversify into maufacturing following its recent acquisition, from the Board for Industrial and Financial Reconstruction (BIFR), of a steel plant in Orissa.

K K Nath, director of KKN group of companies, said, 'We will venture into manufacturing sector after acquiring the steel plant, Ferroy Alloys Metallic Private Limited in Bhadrak, Orissa for Rs 40 crore”. The unit had a capacity of 30,000 ton and could start producing about 45,000 ton by September 2009 following additional investments of Rs 100 crore.

KKN will scale up the plant capacity to about 700,000 ton in three years, at an investment of Rs 1000 crore, 85 per cent of which will be financed by banks and other financial institutions, he claimed. The plant had 20 acres and KKN aimed to acquire 15 acres more gradually.

Besides TMT bars, the unit would make SGCI casting and malleable iron casting, wanted by engineering units, railways, state electricity boards, wagon builders, automobile units and related sectors.

KKN comprised ten companies engaged in wholesale trading of fertilizers, under the brand of Aditya, mustard oil under the brand of Tripti, wheat, flour, soya oil, tea, rice and spices. The group posted turnover of Rs 132 crore for the year 2007-08 and expected sales of Rs 300 crore within 2011.

KKN comprised ten companies engaged in wholesale trading of fertilizers, under the brand of Aditya, mustard oil under the brand of Tripti, wheat, flour, soya oil, tea, rice and spices.