KLG Systel looking for acquisition in aerospace: Kumud Goel

Kumud Goel , MD at KLG Systel states that Atlantis Lab will do Rs 12 cr this year, which will add to the topline of KLG Systel. He further adds that the company is now 150 people company which will be 1000 people by August’08.
 

He said, KLG Systel has been growing at 100% and expects to grow more than that this year.

Excerpts from CNBC-TV18's exclusive interview with KLG Systels:

Q: You recently acquired Atlantis lab for an all cash deal of about Rs 12 cr, could you put into perspective what this acquisition would mean for your financials in FY08?

A: We have acquired 51% of Atlantis Lab for Rs 12 cr. It is a mechanical CAD and Computer Aid Engineering (CAE) company, working in the area of automobile sector. It strengthens our offering in computer aid design to the Indian market.

This company is slated to do about Rs 12 cr this year which will add that much to the topline of KLG.

Q: How many seats do you currently have and how do you think you will have post the integration of Atlantis post 2008?

A: Atlantis is one of the biggest suppliers of engineering design to Tata Motors, Ingersoll-Rand, John Deere, Atals Copco and many other large automobile and mechanical engineering companies. It is right now 150-people and based on expansion that we are doing and we are hoping there will be 1,000 people by the end of one year from the acquisition that is by August’08.

Q: Any organic growth plans that you have and would you be looking to raise any funds for that?

A: We are not raising any funds. KLG is cash surplus with about Rs 50 cr in the bank. We are also looking for other companies in the aerospace for acquisition.

Q: Have you laid a target in terms of sales and profits for FY08?

A: Our Company has been growing at 100% and I think this year we should be doing much more than that.