NEW DELHI: Vienna-based RHI Magnesita plans to invest nearly Rs 3,600 crore over the next two-three years in India to expand its production capacity and modernise plants, its global CEO Stefan Borgas said.
RHI Magnesita has used a portion of the capex to buy two refractory assets in India.
“We have earmarked a Rs 3,600 crore investment in India. This would go towards organic and inorganic capacity expansion and modernisation of the Indian manufacturing facilities,” the CEO said, adding that the capital infusion will be through its subsidiary RHI Magnesita India Ltd.
The company is into manufacturing and supplying of refractory products, systems, and solutions for industries such as steel, cement, non-ferrous metals, and glass.
It recently completed the acquisition of Dalmia OCL and the refractory business of Hi-Tech Chemicals for Rs 1,708 crore and Rs 621 crore, respectively.
The refractory building capacity of the company is at 5 lakh tonnes per annum (LTPA), of which 1.5 LTPA remains unutilised capacity ready to serve the additional requirements of the Indian market, he said.
The company is looking to modernise the newly acquired assets in India by increasing automation and deploying machinery of international standards.
AI (artificial intelligence) and data-driven digital technologies are being brought to India for improved refractory performance as part of its plans, he added.
Post-acquisition, the share of the company in the domestic refractory industry has risen to 30 per cent, said Pramod Sagar, MD, RHI Magnesita India.
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