New Delhi, Feb. 8: Amtrex Hitachi Appliances Ltd, the Indian arm of the Japanese white goods maker, is planning to raise approximately Rs 32 crore through a rights issue to fund its expansion plans.
At present, the company produces about 100,000 units of air-conditioners. It plans to raise production to 150,000 units this fiscal, said Kunio Sebata, president and chief executive officer of Hitachi Home and Life Solutions (HHLS).
HHLS was separated from Hitachi Ltd in April last year becoming an independent company which develops, manufactures and sells home appliances as well as markets consumer electronics.
Sebata told reporters here today that the company is looking to establish a manufacturing unit in Jammu and Kashmir. “We have applied for a licence to set up a base there. Let’s see what happens.”
Anil Gupta, vice-president, marketing and business strategy, Amtrex Hitachi Appliances Ltd (AHAL), said the company will infuse fresh capital worth Rs 27 crore to boost the expansion by mid-2003.
Hitachi is planning to launch a slew of products — airconditioner models to washing machines — with the implementation of its expansion plans.
The company expects to increase its worldwide market share from 14 per cent at present to almost 20 per cent by 2005. Sebata said the white goods industry is facing almost a 5 per cent market price reduction.