Diamond Cables acquires Western Transformers

New Delhi, Mar 20 (UNI) In a bid to become a large player in the power infrastructure sector, Diamond Cables has acquired Western Transformer, a Gujarat-based transformer manufacturer.

With its in-house capacity to manufacture transmission and distribution conductors and cables, the company proposes to completely integrate its power infrastructure business, and proposes to add capacity to manufacture power and distribution transformers.

Diamond Cables' Power Infrastructure Group, has a requirement of over 4,200 transformers of 25.63 and 100 KVA class with an aggregate value of over Rs 35 crore which will be met by Western Transformers.

The company proposes to increase its Power Transformer capacity upto 10,000 MVA by March 2008 with product range upto 220 MVA either by setting up a green field project or by acquiring an existing player in the Power Transformer segment.

''As a first step towards augmenting its power transformer capacity, the company's board has considered and decided to acquire Western Transformer,'' the company told the BSE today.

Western Transformer was established in 1994 with a capacity to manufacture distribution and power transformers from ratings of 10 KVA upto 10 MVA with an installed capacity of 2,500 MVA.

The acquisition of the said unit would be completed by March 20, it said.

The company has an existing order book position of Rs 30 crore, which includes order worth Rs 9 crore from GEB and Rs 21 crore from other customers.

UNI