Diamond Power Infra bags Rs 48 cr export order

Cashing in on the Centre's African development aid initiative, Vadodara-based Diamond Power Infrastructure Ltd has bagged an export order of transformers from a leading power utility in Africa.

Diamond Power is engaged in manufacture of transmission and distribution (T&D) conductors, power and control cables and power and distribution transformers.

According to a senior official, the order, valued at Rs 48 crore, will be fulfilled over a period of six months.

"We have received an export order from one of the leading power utilities in Africa for transformers ranging from 16 KVA to 40 MVA. The order is a part of the African development aid where the Government of India provides grants for power system improvement and rural electrification in 19 African countries," the official said, refusing to reveal the details of the African power utility.

Under the aid, the government provides grant of Rs 100-200 crore following which these countries are bound to buy power equipment from Indian companies.

Given the number of utilities possibly buying equipment under the grant, roughly around Rs 2,500 crore worth of power equipment would be exported from India over the next three years, said the official.

Diamond Power Infra expects at least 10 per cent of the projected turnover of Rs 675 crore to come from exports for the financial year 2007-08.

The company is likely to strike an acquisition deal for a European company by the end of January 2008 for which it is raising around Rs 250 crore.

Apart from setting up HT and LT power cables, a manufacturing unit in Vadodara, Diamond Power Infra is also expanding its transformers manufacturing capacity.