Kavveri Telecom Products Ltd, which made two acquisitions in Canada during the past six months, is now planning to consolidate its Canadian operations. The company is also expecting that its Canadian operations to achieve a sales turnover of Canadian $6-7 million in FY2007-08. | |
| In April this year, Kavveri had acquired DCI Digital Communications, a Canadian company that specialises in radio frequency interference (RFI) products company, in an all-cash deal of Canadian $2 million. |
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| This is the second acquisitions in Canada, following the acquisition of Til-Tek Antennae Inc, a manufacturer of base stations antennae for GSM, CDMA, Wi-Fi and Wi-Max applications. |
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| Til-Tek, which was a wholly-owned subsidiary of Wi-LAN, a provider of broadband wireless communications products, had incurred a loss of about Canadian $500,000 in 2005-06. |
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| After coming into the Kavveri fold, the company made a profit of Canadian $80,000 in FY2006-07 "" for the first time in the last five years, said T S Gururaj, GM, Business Development "" Telecom, Kavveri Telecom. |
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| Both the acquisitions were made through Kavveri Technologies, Kavveri's wholly-owned subsidiary in Canada. With both these acquisitions, the company's headcount in Canada stands at 60. |
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| With a strong demand in the domestic market for its antennae and RF products, Kavveri telecom is expecting a sales turnover of Rs 100 crore in FY 2007-08. In FY06-07, Kavveri had achieved a turnover of Rs 50 crore and a profit of Rs 6 crore, according to the unaudited results. |
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| Kavveri has three manufacturing facilities in Bangalore. The company is planning to significantly enhance the capacity of its plant located in Jigani industrial area in Bangalore in the ongoing fiscal, with a plan outlay of Rs 15 crore. Kavveri uses this plant as a contract manufacturing facility for its clients in North America. |
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