Thermax to invest Rs. 400 cr in new plants in India, Indonesia.

Thermax Ltd. has chalked out a clear strategy to de-risk its business and is investing over Rs. 400 crore in two manufacturing plants in India and a third one in Indonesia to help grow its products vertical.

The Pune-based energy and environment solutions company is setting up a chemical manufacturing unit in Dahej, Gujarat, to make ion exchange resins with an investment, in two phases, of Rs. 150 crore.

The land has been procured and the plant will go on stream during FY 17, said Chairperson Meher Pudumjee.

While Thermax already makes these resins in a plant near Pune, the new unit will be an export-oriented unit, as over 80 per cent of the product is sold in overseas markets such as the US, Europe and South-East Asia, she said.

The resins have been developed internally and will be used in newer applications like food and medicine.

The second plant in India will be located on the east coast of the country at a yet to be firmed up location.

This will help Thermax expand its cooling business as the absorption chiller facility in Pune has reached capacity.

To widen its overseas manufacturing base, Thermax has acquired land in Indonesia through its wholly owned investment company that has been formed in Singapore.

This facility, for which $25 million will be invested in two phases, has been planned as multipurpose plant for heating, water and air pollution products and will serve ASEAN markets.

HBL