Century Plyboards aims Rs 650 cr capex
Products

Century Plyboards aims Rs 650 cr capex

With an improvement in demand in the post-Covid era, Century Plyboards is planning a Rs 650 crore capital expenditure (capex), its largest in recent times, over the next two years.

The company will add a greenfield plant, medium-density fibreboard (MDF) unit in South India at an estimated cost of Rs 450 crore. The unit is expected to be operational by financial year (FY) 2023. Details of the state where the unit would come up and its capacity are yet to be finalised.

The other aspect is related to brownfield expansion. The company is ramping up capacities at its MDF plant at Hoshiarpur in Punjab by 67% (from 600 cu m per day to 1,000 cu m per day) at an estimated cost of Rs 200 crore. Commercial production will start in the next 12 months.

Check wood prices in India here

According to the company, nearly 80% of the capex will be funded through internal accruals, and 20% would be through debt.


Make in Steel 2021

24 February 

Click for event info


4th Indian Cement Review Conference 2021

17-18 March 

Click for event info


Currently, the company’s plywood and laminate units operate at over 90% capacities, while MDF units are at 100%. The particleboard unit is operating at 110% capacity. Some improvements in the particleboard units were made recently, the benefits of which are expected to be visible in Q4 results of Century Ply.

The plywood manufacturer has already hiked the prices across categories like plywood and laminates, MDF and particle board on the back of increased raw material costs–chemicals and timber–as well as higher shipping and freight charges. Hikes vary between 2% to 10%, depending on categories.

Image


Also read: Debris to “zero-waste” homes

With an improvement in demand in the post-Covid era, Century Plyboards is planning a Rs 650 crore capital expenditure (capex), its largest in recent times, over the next two years. The company will add a greenfield plant, medium-density fibreboard (MDF) unit in South India at an estimated cost of Rs 450 crore. The unit is expected to be operational by financial year (FY) 2023. Details of the state where the unit would come up and its capacity are yet to be finalised. The other aspect is related to brownfield expansion. The company is ramping up capacities at its MDF plant at Hoshiarpur in Punjab by 67% (from 600 cu m per day to 1,000 cu m per day) at an estimated cost of Rs 200 crore. Commercial production will start in the next 12 months. Check wood prices in India here According to the company, nearly 80% of the capex will be funded through internal accruals, and 20% would be through debt.Make in Steel 202124 February Click for event info4th Indian Cement Review Conference 202117-18 March Click for event info Currently, the company’s plywood and laminate units operate at over 90% capacities, while MDF units are at 100%. The particleboard unit is operating at 110% capacity. Some improvements in the particleboard units were made recently, the benefits of which are expected to be visible in Q4 results of Century Ply. The plywood manufacturer has already hiked the prices across categories like plywood and laminates, MDF and particle board on the back of increased raw material costs–chemicals and timber–as well as higher shipping and freight charges. Hikes vary between 2% to 10%, depending on categories. Image Also read: Debris to “zero-waste” homes

Next Story
Real Estate

Mahindra Lifespaces Bags Rs 12.5 billion Redevelopment in Mulund

Mahindra Lifespace Developers (MLDL), the real estate and infrastructure development arm of the Mahindra Group, has been appointed as the preferred developer for the redevelopment of a premium housing society in Mulund (West), Mumbai. The project will be developed across a 3.08-acre land parcel, with an estimated development value of approximately Rs 12.5 billion. Strategically located, the site enjoys proximity to major connectivity points—just 1.4 km from the upcoming Mumbai Metro Line 5 and 0.8 km from the Goregaon-Mulund Link Road. It also offers seamless access to the Eastern Expre..

Next Story
Infrastructure Urban

Snowman Adds Warehouses in Kolkata and Krishnapatnam

Snowman Logistics, India’s leading integrated temperature-controlled logistics company, has announced the commencement of operations at its two new state-of-the-art, owned cold storage facilities in Kolkata and Krishnapatnam. With these additions, the company’s total pallet capacity has reached 1,50,754, spanning 43 warehouses in 20 cities across the country. The newly operational Kolkata facility offers a storage capacity of 5,630 pallets, while the Krishnapatnam facility holds 3,927 pallets. These warehouses are equipped with advanced automation and infrastructure designed to enhanc..

Next Story
Resources

Noesis Enables IHCL Hotel Deal in Udupi–Manipal Corridor

NOESIS Capital Advisors, India’s leading hotel investment advisory firm, has successfully facilitated a landmark hospitality transaction in the Udupi–Manipal region of Karnataka. The deal involves the acquisition of a nearly completed, 130-key upscale hotel that will operate under one of the premium brands of IHCL, reinforcing NOESIS’ position as a preferred partner for strategic hospitality transactions across India. Strategically located on the Udupi–Manipal Highway, the 1.03-acre property will cater to business travellers, pilgrims and families visiting Manipal University. With..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?