Caparo group zoom in 10 companies for acquisitions

New Delhi, Sept 24 (UNI) NRI industrialist Lord Swraj Paul's Caparo group, which has several auto manufacturing plants in the country, has shortlisted ten medium-sized firms for acquisitions that will be funded through internal accruals and debt.

''We are looking at possible acquisitions in medium-size companies and have shortlisted ten such firms,'' Caparo India Managing Director and Chief Executive Officer Sunil Pahilajani told UNI here.

The size of the aquisitions will be between Rs 100-250 crore, he said, adding that the funding of the proceeds will be through internal accruals and debt.

Mr Paul, currently on a fortnight-long visit to India will take stock of the fast growing operations of Caparo automobile plants and assess further investment prospects in the country.

The company has 15 manufacturing plants in operation and 15 other are under construction which will become functional by 2008-end, Mr Pahilajani said.

Caparo's present spate of expansion will increase its current headcount from 2,000 to 4,000 by end of next calendar year.

Nearly 25 per cent of the new appointments will be engineers and rest will be technicians and others.

The company has also bagged a sizeble chunk of order from Tata Motors for its Rs one lakh small car. It will supply car bodies and aluminium castings for the small car.

Caparo, catering basically to the domestic market is also exporting to the US and Europe market. Exports to these destinations will grow to 15-20 per cent in two years, Mr Pahilajani said.

UNI