Alok Industries mulls Rs 800 cr capex in 2 yrs

Leading textile player Alok Industries has drawn up a Rs 800-crore capex plan for the next two years period, a top company official said here.

"We have invested Rs 7,000 crore in the last six year in our expansion programme. In the next two year, we will further invest around Rs 400-450 crore per annum for our on-going expansion plans," Alok Industries CFO Sunil Khandelwal said on the sidelines of a conference here.

The company will finance the said funds through internal accruals and debt, Khandelwal said, adding that the company had a successful a rights issue aggregating Rs 449.59 crore last year and a QIP of Rs 425 crore in March 2010.

The company will also seek funds from the government's Technology Upgradation Fund (TUF) scheme, which is expected to be revived now, he said.

During FY 2010, the company had incurred a capital expenditure of Rs 1,522.90 crore across various divisions. A major portion of these were towards Phase III and Phase IV expansions, which have been fully completed, setting up of second Continuous Polymerisation Plant at Saily in Silvassa, expansion of texturising and regular capex.