KEC International, the transmission company of RPG Enterprises, has reported a net profit of INR 42 crore for the second quarter of this fiscal over twice as much from INR 17 crore in the same period last year mainly due to lower raw material and interest costs.
KEC International’s net sales were up 9% to INR 875 crore. The KEC board has also approved the merger of group firm RPG Cables with itself at a swap ratio of one KEC share for every 20 of RPG Cables. In the process, its capital will be up to INR 51.42 crore. RPG Cables is a manufacturer of power and control, telecommunications and instrumentation cables with plants in Thane, Silvassa and Mysore.
It offers turnkey cabling solutions involving cable supply, selection, jointing, testing and commissioning. Mr Harsh Goenka chairman of KEC International said that this merger is a natural extension of KEC’s role in the energy space and a key element in the energy distribution portfolio that it is building into its strategy.”
Mr Ramesh Chandak MD & CEO of KEC International added that the merger would bring greater strength to the company as RPG cables would help provide last mile connectivity in the power business as well as contribute to control cost and delivery of projects.
