ISGEC Heavy Engineering’s board has approved capital expenditure of around Rs 350.60 crore towards capacity addition. The company will spend around Rs 218 crore towards expansion of Machine Building Division by increasing Presses and Contract Manufacturing capacity to achieve additional turnover of Rs 375 crore per annum. These capacities are to be added over a period of 15 to 18 months. The rationale behind the expansion is to meet projected demand in the market for its existing products and for new products. 

The company will also invest around Rs 23 crore for new Machining Shop for Iron Casting / Foundry Division over a period of 15 to 18 months. This will help to add new products and cater to existing and new customers. Additionally, the company has revised proposed capital expenditure for setting up Skids & Modules shop from Rs 87 crore to Rs 110 crore. The company will add around 6000 metric tons per annum over the period of 30 months. The company expects growth in Skids & Modules business and, therefore, needs a manufacturing facility dedicated for this existing product line. The size of the shops is being increased to manufacture larger skids & Modules.

ISGEC Heavy Engineering is a multi-product, multi-location public company that has been providing engineering solutions to customers around the world for the past many years.