Sujana Towers is targeting a topline of Rs 5,000 crore and a bottomline of Rs 500 crore in the next four years. For this, the company is planning to raising about Rs 1,500 crore by way of debt and equity in the time span of in the next 18-24 months.
Citing their expansion plans, Kamesh Yalamarty, managing director, Sujana Towers said, "We are going to setup a new facility in Guwahati. We are also contemplating to increase our cable manufacturing capacity to 2,400 kb. We are anticipating about 200% capacity increase in the existing lines of business." Below is the edited transcript of Yalamarty's interview with Ekta Batra and Reema Tendulkar of CNBC-TV18. Also watch the accompanying video. Q: Can you just take us through where exactly the fund raising plan stand? How much are you looking to raise and what would be the instruments? A: We are now looking for a very blistering growth pace. Sujana has set itself in the next four years to achieve a top line of Rs 5,000 crore and a bottom line of Rs 500 crore. Our business plan has also been weighted by CRISIL and they have endorsed the line of thinking what we are talking. We are looking at about 400% increase in the top line in the next four years and about 500-600% bottom line in the next four years. This calls for huge outlay on our fixed assets and our facilities and it requires a blistering pace of growth. For this purpose tentatively, we are looking of raising about Rs 1,500 crore by way of debt and equity. Out of which about USD 100 million we would be raising either through ECB or FCCB way. Domestically, we are planning to raise about Rs 400 crore through non-convertible debentures. The said fund raising will take place in the next 18-24 months of time. It would be a mixture of the debt and equity. With this, our fund raising plans will reach a plateau to achieve Rs 5,000 crore. That should be able to keep a company firing on all the four cylinders to achieve the rated plans. Q: How much debt do you already have on your books? How difficult is it to venture into the markets considering that we are working with such difficult situations right now? Have you already spoken to investors and banks? A: We did. Interestingly, we are a very lowly debt company. I donDiscover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
