Date:16/06/2006 URL: http://www.thehindubusinessline.com/2006/06/16/stories/2006061602180300.htm

Back Mold-Tek plans tech campus near Hyderabad

Our Bureau

Hyderabad , June 15

Mold-Tek Technologies Ltd is finalising plans for a Rs 10-crore technology campus near Hyderabad and a packaging unit in Tamil Nadu with an outlay of Rs 8 crore.

The Hyderabad-based packaging and technology company recorded sales of Rs 70.87 crore and net profit of Rs 3.54 crore in 2005-06 as against sales of Rs 56.64 crore and net profit of Rs 0.81 crore in the previous fiscal.

For the fourth quarter, the company's consolidated sales stood at Rs 17.31 crore (Rs 11.18 crore) with a net profit of Rs 1.25 crore (Rs 0.20 crore).

The company has announced a 10 per cent final dividend.

Addressing a press conference here on Wednesday, the Managing Director of the company, Mr J. Lakshmana Rao said that the company's packaging divisions at Hyderabad and a unit set up at Daman last year were doing well.

The demand for additional capacity and new areas of pharma packaging had prompted the company to plan an additional unit. "We are in the process of finalising plans for a new facility near Chennai," he said.

Diversification

Referring to diversification into IT, particularly engineering design services, Mr Rao said the company has orders worth $3 million this fiscal and plans to enhance its knowledge processing outsourcing (KPO) services team.

As part of this expansion, the company is setting up a campus near Hyderabad.

Last fiscal, Reliance Capital had invested in the company equity and this year, the company raised Rs 8.12 crore through a preferential equity offer. It has also firmed up additional funds from banks.