Blue star likely to invest approx Rs. 215 crore in the next of 3-4 years

Air-conditioner maker Blue Star plans to invest in the span of next 3-4 years to increase its overall production capacity to a million units per year.

The company is likely to invest Rs. 215 crore in the coming years in process of setting up two major facilities, which would redesign and augment its manufacturing footprint, Blue Star reported.

"Blue Star has embarked on a manufacturing footprint programme with the help of KPMG. Consequent to that exercise, the company has closed down its Thane and Bharuch plants," Blue Star said.

In the meanwhile, it has closed two units at Thane and Bharuch. The new units at Samba in Jammu and Sri city in Andhra Pradesh will primarily manufacture room ACs, deep freezers and water coolers.

The Andhra Pradesh unit will cater to the Southern markets, which will lead to considerable savings in the logistics costs. It would also de-risk the products business due to the spread of its manufacturing footprints in two different states.