Vadodara-based 20 Microns Limited, a leading player in micronised minerals and ultrafine minerals for paints and plastic industries, is eyeing for mines acquisitions in South East Asian and Middle East countries.
The company, which runs four mines across the country, has already been allotted on lease seven more mines by the government.
"While we have 72 hectares of mining area currently under the company, we will soon be adding additional 1,000 hectares domestically. However, we are also looking at acquiring mines in South East Asian and Middle East countries," said Chandresh Parikh, chairman and managing director of 20 Microns Limited.
Parikh added that the overseas acquisitions of mines will help reduce transport costs to eastern parts of the country.
Currently, 20 Microns has over 60 lakh metric tonnes of mineral reserves across the country, say company sources. Through the overseas acquisitions, the company intends to increase the reserves substantially, said Parikh.
A leading producer of white minerals, the company runs eight mineral micronisation and processing facilities at Bhuj, Vadadla and Waghodia (Vadodara) in Gujarat, Udaipur, Swaroopganj and Alwar in Uttar Pradesh, and Hosur and Tirunelveli in Tamil Nadu.
While the existing capacity from these facilities comes to around 96,400 metric tonnes, 20 Microns is set to expand it in atleast two units including Bhuj and Vadodara.
For the proposed expansion, the company intends to raise funds by entering the capital market through an initial public offering (IPO) on September 8, 2008.
By offering around 43.50 lakh equity shares of Rs 10 each between a price band of Rs 50 and Rs 55 per share, 20 Microns expects to raise Rs 23.93 crore at the upper band.