Teekays to set up mfg plant in B`lore

Hyderabad: Teekays Interior Solutions, a Bangalore-based player in the corporate interior fit-out segment, is setting up a greenfield facility near Bangalore for manufacturing medium density fibreboard (MDF), a panel board used in all futuristic interior fit-out projects.

The Rs 206-crore facility, being funded with an equity-debt ratio of 40:60, is coming up on 25 acre allotted by the Karnataka government. The facility will have a production capacity of 100,000 cubic metre of MDF a year and would go on stream by early 2009, Umar Teekay, managing director of Teekays Group, said.

Addressing mediapersons to announce the company's foray into the Hyderabad corporate interior fit-out market, Teekay said, 'As a precursor to this project, we will be shortly launching a short-cycle lamination plant, which is likely to commence production from October 2008.

To cater to the huge raw material needs of the MDF plant, we have already started operations in Andhra Pradesh and Karnataka promoting as well as developing farm forestry.'

As a part of its forward integration, he said, the company had embarked on a new venture called Teekays Prime Properties (India) Limited, which will be developing IT parks in tier-II cities like Mysore and Mangalore.

The group currently has a land bank of 200 acres – 160 in Mysore and 40 in Mangalore. It proposes to set up an IT special economic zone (SEZ) on 25 acre in Mysore at a total outlay of Rs 800 crore.

'Development work on the SEZ has already begun. The SEZ would comprise 16 IT towers and the first tower in the first phase, with an investment of Rs 50 crore, would be completed by 2010,' he said, adding Teekays Prime was at present looking for a joint venture partner for the execution of the entire project.