TEXMACO, UNITED GROUP TIE UP TO MAKE HI-TECH WAGONS
Kolkata, May 19: Texmaco Ltd, a KK Birla group company, has formed a joint venture with United Group of Australia to manufacture hi-tech wagon and locomotive bogie frames, it was announced here Tuesday.
'A joint venture company with United Group, one of Asia's leading end-to-end rail technology solutions provider, has been incorporated, and steps are being discussed to set up a modern facility to make hi-tech wagon and locomotive bogie frames for Indian Railways, the private industry and exports,' Texmaco said in a statement.
The two companies had joined hands in 2007 for a 50:50 joint venture to form the biggest railway hub in West Bengal.
Texmaco has entered into tie-ups with several multi-nationals to exploit the business opportunities offered by Indian Railways, which has made a Rs.230,000-crore expansion plan in the 11th Five-Year plan.
'The current order book of the company stands at around Rs.1300 crore, which would enable it to maintain smooth production during the current year. It would stand to be further augmented by the Railway orders under planning for 2009-10,' the release said.
The company's turnover was up 16 percent to Rs.1,091.25 crore for the fiscal ended Mar 31, 2009 as against Rs.943.52 crore the previous year.
Texmaco's net profit rose 10 percent to Rs.75.84 crore last fiscal from Rs.69.09 crore in 2007-08.
The performance of the company was to some extent impacted due to deceleration exports, the release said.