KEC International to treble capex
Date: 05-05-2010KEC International, the transmission & distribution company will spend almost thrice as much as it did last year. The company has planned a capex of Rs170 crore this year. Of that, it will spend about Rs 70 crore on the
The company has still not decided the size or the location of the plant, which will produce 220 kv and other extra high-voltage cables. RPG Cables presently has three underground cable plants in the country. Underground cables are used primarily for power distribution in cities because of the presence of high-rise buildings, while rural areas still have overhead distribution.
The other Rs100 crore would be for routine expenses, including the upgradation of KEC’s construction equipment. The company would seek a loan for the cable plant and use its internal accruals for the rest.
KEC has an impressive order-book of Rs 5,500 crore, of which about 78% is in transmission, 19% in distribution and the rest in railways and telecom. About half of its order backlog is from overseas. crackcrack