Baring Private Equity India AIF, Ananta Capital and the Patni family office are participating through preferential allotment of Equity Shares of ₹40.30 crores and CCDs of ₹36.30 crores in the company.
Funds will be used to expand its plant situated in Pune which produces air-conditioners and coolers and establish a new plant in Greater Noida which will produce air coolers, mobile phone parts and other plastic components.
The company has an expansion plan of over ₹100 crore for the current year. PGEL recorded ₹642 crores operating revenues for the fiscal FY2020, a growth of 25.4% cumulative annual growth rate (CAGR) annually over its revenues of Rs. 512 crores during the previous fiscal, the statement said.
Vikas Gupta, Managing Director of PGEL said, “Through this growth focused funding, we plan to expand our production capacity in manufacturing of ACs and coolers. We want to triple the production capacity of AC manufacturing and other products too. The capacity expansion is in line with the growth envisaged in the segment and will also allow us to comfortably meet the PLI scheme criteria of the Government of India.”
PGEL has six manufacturing units currently operating in Greater Noida, Roorkee and Ahmednagar, with a presence in sectors like plastic moulding, tool manufacturing, PU paint shop, PCB assemblies and final product assembly.
It also manufactures washing machines, air conditioners and coolers for clients such as LG Electronics, Whirlpool, Haier, Llyod, Blue Star, Voltas, Carrier, Midea, Godrej, Lava, Flipkart, Reliance Retail, Jabil, Honeywell, Kohler, Jaquar, Orient and Crompton.
This article was first published on livemint.com.