Indo Tech Transformers Approves INR 360 Crore CAPEX for Major Capacity Expansion in Plant Operations
Indo Tech Transformers Ltd has significantly augmented its growth plans, with its Board of Directors approving an additional Capital Expenditure (CAPEX) proposal worth INR 360 Crores. This decision aims at enhancing the plant's capacity up to a total of 50,000 MVA in the range of transformers operating up to 400 KV.The expansion project is scheduled for execution across the financial years 2028 and 2029. This latest investment announcement supplements previous capacity addition initiatives that are already underway.
Indo Tech Transformers has maintained a current operational capacity of 14,000 MVA, which currently operates at a utilization rate between 80% and 90%. The company has outlined a comprehensive strategy to increase its plant output, targeting an additional 25,000 MVA.
The total investment required for the combined expansion project stands at INR 495 Crores. This figure incorporates multiple phases of approved CAPEX spanning several years.
A summary of the current and planned capacity addition projects is detailed below:
| Aspect | Current Status/Target | Details |
|---|---|---|
| Existing Capacity | 14,000 MVA | Current operational size. |
| Current Utilization | 80-90% | Existing capacity utilization rate. |
| Proposed Addition (Total) | 25,000 MVA | Total proposed increase in plant capacity. |
| Project Completion Timeline | March 2029 | Period within which the proposed capacity is to be added. |
The cumulative investment structure includes several tranches of approved funding:
| Approval Date | CAPEX Approved | Target Capacity Increase |
|---|---|---|
| December 31, 2024 | INR 75 Crores | To increase capacity to 16,000 MVA. |
| November 13, 2025 | INR 25 Crores | To increase capacity to 20,000 MVA. |
| May 20, 2026 | INR 35 Crores | To increase capacity to 25,000 MVA. |
| June 26, 2026 | INR 360 Crores | For the latest capacity enhancement project. |
The entire expansion initiative aims to enhance plant capability up to a full capacity of 50,000 MVA in the 400 KV range. The necessary funding for this comprehensive growth plan will be sourced through internal accruals and Bank Borrowings (Term Loan).
INDOTECH Stock Price Movement
Shares of Indo Tech Transformers Limited rallied on Thursday, closing at ₹2935.2 after gaining ₹79.70 or 2.74% against the previous close. The stock saw robust trading with 47,038 shares changing hands as it continued to trade within a strong range that included its 52-week high mark of ₹3050.5.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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