After almost three years since it acquired France-based Huron Graffenstaden, Rajkot-based Jyoti CNC Automation Pvt. Ltd., one of the leading CNC machine manufacturers, has lined up investment worth Rs 250 crore for expansion of its manufacturing capacity and introduction of new product range in three years. The company's future plans are directed towards exploring the international market through its French company.
"We are in the process of expanding our product range and production capacity. For this we will be investing Rs 250 crore in the coming three years. With this expansion, our production capacity will reach from 1,500 units to 5,000 units per annum," said Parakramsinh Jadeja, managing director of the company.
Talking further about the plans, he said, "The company will upgrade the technology to manufacture CNC machines for international market. We have our own company Huron Graffenstaden in France. We will manufactures parts here and assemble it in France for hi tech machinery. Our R&D team is also designing new products." Jyoti CNC had takeover France based Huron Graffenstaden with an investment of Rs 150 crore in 2007.
Price of a CNC machine in India is about Rs 20-50 lakhs while in the European market it is about Rs 3-5 crore. "With new design and state of art technology we will strengthen our position to compete in global market," said Jadeja.
On further expansion plans Jadeja told Business Standard, "We are also looking for more acquisitions in European market in the near future. We are checking out various options to raise funds as well. We will raise fund through IPO or private equity, however, that's yet to be decided."
Since last three years company’s turn over sustain on Rs.400 crore per year due to recession in global market. Company's expanding footprint ensures its global presence with export operations in countries like Italy, Russia, Poland, Argentina, Brazil and rest of South America, Tanzania and some African countries, Middle East and Other Asian Countries like Malaysia.
