Germany-based Freudenberg Group to invest ₹400 crore in Punjab

Source: LiveMint.com, Feb 18, 2020

Germany-based Freudenberg Group CEO Ulrich Kerber on Tuesday discussed with Punjab Chief Minister Amarinder Singh the modalities for investing ₹400 crore in the state’s automotive sector.

Amarinder assured Kerber of his government’s full support and cooperation to undertake expansion in the state, a government statement said here.

Kerber informed the chief minister that the group was in constant touch with ‘Invest Punjab’ team for identification of suitable site for the new project, which would soon be finalised.

He told Amarinder that Vibracoustic India, an arm of Freudenberg Group, is a leading supplier of NBH (noise, vibration and harshness) solutions for automotive industry, with a presence in 19 countries, and a market share of 18 per cent. Read the rest of this entry »

Indian Oil to invest Rs 500 crore in Karnataka

Source: IBEF.org, Feb 17, 2019

Indian Oil Corporation (IOC), a public sector oil marketing major, plans to invest Rs 500 crore (US$ 71.54 million) at Chitradurga in Karnataka.

According to the company, the investment will be focused for setting up a terminal for receiving, storage and distribution of petroleum, oil and lubricants (POL) under a common user facility (CUF) spread across an area of about 120 acres.

A Memorandum of Understanding (MoU) was signed by the Executive Director and State Head, IndianOil, Karnataka, Mr DL Pramodh and Principal Secretary Commerce and Industries, Mr Gaurav Gupta, and exchanged in the presence of Chief Minister Mr BS Yediyurappa, Minister of Parliamentary Affairs, Coal and Mines Mr Pralhad Joshi, Minister of State for Railways Mr Suresh Angadi, and Minister for Large and Medium Scale Industries Mr Jagadish Shettar at the recently-concluded ‘Invest Karnataka’ meet at Hubballi.

Henkel to invest Rs 400 crore on India expansion plan

Source: Financial Express, Feb 04, 2019

Mumbai: German company Henkel on Tuesday said it will invest 50 million euro for brownfield expansion activities in the adhesives business in India over the next five years. It announced the inauguration of a Rs 400 crore or 50 million euro facility at Kurkumbh near Pune on Tuesday built over the last four years. “What we have launched is phase one and two of the facility, we will be doing phase three and four for sure. At the end of five years, our cumulative investments at the facility will be Euro 100 million,” its board member and executive Vice President of Henkel Adhesive Technologies, Jan-Dirk Auris told reporters here.

The facility at Kurkumbh, the seventh manufacturing unit in India, is spread over 25 acres land and will be focused on making adhesives primarily for the Indian market and there will also be a bit of exports, its president for India, Shilip Kumar said. A company executive explained that there is extra land available within the same plot for expansion and it is also buying a 6.6 acre parcel located next to it for the expansion.

India is the third largest among the emerging markets for the USD 9-billion adhesives business globally, and the company said that in 2015, its domestic turnover had touched Rs 1,600 crore. Till now, the company has invested up to 400 million euro in India since entering the country in 1997, Auris said, adding that it employs close to 1,000 people. Kumar said the new facility employs 320 people directly and indirectly. He said the addressable market opportunity in India, where competes with global majors like 3M, is over USD 1 billion per annum. The biggest revenue segment is automobiles, followed by the packaging industry, he said, adding that the electronics segment is also catching up on sales.

Lohia Group invests Rs 100 cr in aerospace and defence plant in Kanpur

Source: Business Standard, Jan 27, 2019

Lucknow: The Lohia Group has invested nearly Rs 100 crore in a greenfield aerospace and defence hardware plant in Kanpur.

The Group expects the commercial production to begin from March 2020, company’s director Anurag Lohia told Business Standard today.

“We will produce composite parts for the aerospace and defence manufacturers at our plant, which is spread over about 10 acres of land in Kanpur industrial area,” he informed.

The plant, which is an export-oriented unit, will be positioned to showcase the ‘Make in India’ capabilities of Uttar Pradesh, especially in the defence manufacturing sector.

Lohia has already signed an offset memorandum of understanding (MoU) with Israel’s largest defence company for sourcing of structural parts and components for Unmanned Aerial Vehicles (UAV) and cargo aircraft. It is also in ‘advanced’ talks with a European firm for supplying military-grade carbon composites.

“While commercial production will commence in March 2020, we are currently manufacturing components and hardware for display at the Defence Expo (DefExpo) in Lucknow next month,” Lohia added.

The 11th edition of DefExpo, India’s premier biennial land, naval and internal security exhibition being held between February 5 and 8, will cover the entire spectrum of the country’s aerospace, defence and security interests.

Top defence manufacturers from the US, Russia, Australia, Israel and Germany are expected to participate in the event, which is being organised in Lucknow at the initiative of defence minister Rajnath Singh, who represents the constituency in Lok Sabha.

In his recent visit to Lucknow, Singh had said this edition of Expo would be the largest in terms of the exhibition area and number of national and international participants, apart from the value of MoU likely to be signed.

India is the world’s largest military hardware importer and among the top military spenders.

For meeting modernisation needs of the armed forces, India will acquire equipment worth $250 billion by 2027, however, the current delivery capacity of the domestic defence sector is merely $75-80 billion annually, indicating huge potential for indigenous industry.

“We identified composites as the cutting-edge technology that we wanted to bring to India.

This critical and strategic technology is for the world of tomorrow and we wanted India future ready,” Lohia noted.

In February 2019, the Group had acquired Israel-based Light & Strong Limited, Israel’s largest private producer of aerospace focused carbon fibre composite components for Israel’s aerospace and defence industry.

“In this process, we became the first Indian company to acquire and own an international composites company,” he informed adding Lohia had hired an Israeli composites expert for 2 years for executing the technology transfer from Israel to India. Under the ‘Skill India’ initiative, the company has recruited 30 people from UP and sent them for training at its Israeli facility for six months.

Japan’s NTT to invest estimated $1.5 billion in data centres in India

Source: Business Standard, Jan 22, 2019

Mumbai: Japanese tech major NTT on Wednesday said a significant part of its USD 7 billion global commitment for data centres business would be spent in India over the next four years.

The company also feels that there will be margin compression issues for the data centres business in India as capacity supply goes up along with an increase in competition, NTT’s country chief executive for global data centres and cloud infrastructure, Sharad Sanghi, told PTI.

In the last few months, a string of corporates, including the Adani Group, Hiranandanis and Reliance Industries have announced investments in data centres, on the back of regulatory moves like data sovereignity which makes it incumbent upon financial institutions to house their data locally.

“India is the fastest growing region for NTT and a substantial amount of the USD 7 billion commitment will be invested here,” Sanghi said.

When asked if the money will be equally split between the four regions the company operates in, Sanghi said the overall investments are bound to be shared proportionately, hinting that over USD 1.5 billion or nearly Rs 11,000 crore will come into India.

The company, whose revenues have been growing at 30 per cent every year, is targeting to more than double its capacity in the next three years through the investments, Sanghi said.

Its overall capacity, which stands at 1.2 million sq ft at present spread across Mumbai, Noida, Chennai and Bengaluru, will go up by 1.5 million sq ft, he said.

Read the rest of this entry »

NTPC to invest Rs 50k crore to add 10GW solar capacity by 2022

Source: Financial Express, Dec 26, 2019

State-owned power giant NTPC is planning to add 10 GW of solar energy generation capacity by 2022, which entails an investment of around Rs 50,000 crore, to be funded mainly by green bonds, a source has said.

At present, NTPC has installed renewable energy capacity of 920 MW, which includes mainly solar energy. It has formulated a long-term plan to become a 130 GW company by 2032 with a 30% non-fossil fuel or renewable energy capacity. “The company will complete tendering of 2,300 MW of solar energy capacity by the end of this fiscal. Thereafter, it has planned to add 4GW each in 2020-21 and 2021-22. “The company is open to any borrowing option in the market, which is economical. However, the company would mainly rely on green bonds which are offered for pure clean energy projects. The company wants to raise money through domestic as well as overseas green bonds,” the source said.

NTPC’s plans to add 10 GW solar energy capacity assumes significance in view of India’s ambitious target of having 175 GW of clean energy by 2022.

The source said that the company would also set up some of its solar energy projects under scheme where it gets viability gap funding to keep the tariff below Rs 3 per unit level.

Besides, the company will also set up solar energy projects without any long term (for 25 years) power purchase agreements (PPAs) as it intends to sell the electricity to industrial as well as commercial consumers and also at energy exchanges, the surce added.

The sector regulator Central Electricity Regulatory Authority (CERC) has already approved the real-time power market, which is expected to kick in by April 1, 2020.

In the real-time power market, there would be 48 sessions of half an hour each in a day.

This will allow consumers to get desired power supply within an hour of buying at the energy exchanges. At present, power is traded for two hours in a day from 10 am to 12 am, where consumer can schedule delivery in a day advance.

The source also said the company intends to capitalise on real time power market, which is just three months away.

Government plans to invest $1.39 trillion in infrastructure to spur economy

Source: The Economic Times, Dec 01, 2019

NEW DELHI: Government will unveil a series of infrastructure projects this month as part of a plan to invest Rs 100 lakh crore ($1.39 trillion) in the sector over the next five years, the finance minister said on Saturday, in a push to improve the country’s economy.

Nirmala Sitharaman’s comments, as cited in local newspapers, followed data released on Friday that showed India’s economic growth slowed to 4.5% in the July-September quarter – its weakest pace since 2013 – upping the pressure on Prime Minister Narendra Modi’s government to speed reforms.

“A set of officers are looking into the pipeline of projects that can be readied so that once the fund is ready, it could be front-loaded on these projects,” Sitharaman said at a business summit in Mumbai, the newspapers reported.

“That task is nearly completed. Before December 15, we will be able to announce front loading of at least ten projects,” she said.

Modi came to power in 2014 on the promise to improve India’s economy and boost foreign investments, but he has struggled to meet those aims due to a lack of structural reforms. Modi won a second term in May and has taken various measures since 2014 to spur growth, including cutting the corporate tax and speeding up privatisation of state-run firms.

But several economic indicators show domestic consumption is weak, and many economists expect the current slowdown could persist for another two years.