Two-wheeler and three-wheeler along with off-highway tyres manufacturer,
TVS Srichakra on Tuesday announced a CAPEX of Rs1,000cr to ramp up manufacturing in its Madurai and Pantnagar plants. The investment will be made over the next 3 years.
TVS Srichakra states that the investment, when fully made, will result in an increase in 2 & 3 wheeler tyre capacity by 25-30% and doubling of off-highway tyre capacity from current levels. The investment is planned to be funded by a mix of debt and internal accruals.
S Ravichandran, Director, TVS Srichakra Limited said, "With a wide distribution network in India, growing international presence and building state-of-the-art capabilities in R&D and product development, we are further strengthening our manufacturing capabilities to cater to the growing demands in India and abroad. We believe that this capital outlay will enable TVS Eurogrip to further its growth aspirations and help strengthen its partnerships with vehicle manufacturers and create new benchmarks in the replacement and global markets. This investment reflects our fullest confidence in India's recovery and its prospects in the medium to longterm and is our contribution to Atmanirbhar Bhorat".
The investment outlay announced today will also significantly increase TVS Srichakra's capacities and technological capabilities in the off-highway tyre segment, with a clear focus on global markets, said the company in its regulatory filing.
On Sensex, TVS Srichakra closed at Rs1702.80 per piece up Rs87.80 or 5.44%.