October 07, 2008

Sujana Metals to buy steel plant in Vizag – Report

The Asian Age reported that Hyderabad based Sujana Metal Products Ltd is close to acquiring a steel plant in Vizag at a cost of INR 150 crore.

The report cited some sources close to the development as saying that the formalities for buying out the 0.14 million tonnes capacity mill will be completed in the next few days.

Mr VSR Murthy group director said "From a capacity of 0.128 million tonnes, Sujana has gone up to 0.298 million tonnes over the current fiscal. By 2010, we expect to expand the capacity to 1 million tonnes. We will be investing a total of INR 1,600 crore in two phases to put up this capacity.”

Sujana Metal Products Ltd is a manufacturer of TMT bars and structural steel products. It had recorded a turnover of INR 757 crore for the year ended June 2007 while the profit after tax was INR 23 crore.