Date:17/08/2006 URL: http://www.thehindubusinessline.com/2006/08/17/stories/2006081703960400.htm

Back NeST Group charts expansion plans

Our Bureau

Identifies target markets

Kochi , Aug. 16

The Kochi based NeST Group has unveiled its future plans for global expansion by setting a business target of $1 billion in the next three years. Addressing a press meet here on Wednesday, Mr Javad Hassan, Group Chairman, said that the company had identified four target markets in healthcare, communication, industrial and transportation sectors to facilitate the rapid growth in the business.

To speed up the business growth, he said, global executives would be assigned to lead the Group's efforts in each of these markets. Selling and support organisations are being expanded in the Americas, Europe and the West Asia, Japan and the Far East and India. The global business and regional sales team would draw on Group's expanded India-based manufacturing and engineering units, he said.

Public Issue

"We intend to grow organically and through strategic acquisition. We are getting resources internally and will also allow private equity participation in the range of 10 to 15 per cent," he said. To raise the resources, the Group is also considering going for a public issue within the next 18 months, he added.

Referring to healthcare area identified for the business growth, Mr Hassan pointed out that the objective is to provide affordable healthcare to Indians by building the technology base. The company had plans to manufacture machines for ultrasound, MRI Scan etc as part of the strategy to give affordable healthcare. On the communication area, he said the company is focussing on fibre optics and wireless services.

Global Expansion

NeST, he said has created a global footprint with offices in India, the US, Mexico, UK, Poland, Sweden, Japan, Australia, the UAE and Qatar. The company presently has a turnover of $ 200 million and of this, 70 per cent of the business was generated from Indian operations.

The company is conducting its first global meet in Kochi to fine-tune its vision and to understand its strength to become a $1 billion company.

Mr N. Jehangir, Vice-Chairman and Managing Director of Group operations in India, said that the Group has more than doubled its manufacturing capacity in Kerala and in other States this year, acquired businesses internationally to further expand its technical capabilities and added many new customers.