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CenturyPly to invest Rs 2,000 cr for capacity expansion by FY25

Friday, 05 May 2023
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CenturyPly will be investing Rs 2,000 crore as capital expenditure by 2024-25, which includes greenfield capacity expansion in Andhra Pradesh, Tamil Nadu and Punjab.

The capex plan is spread out over three years, that is, 2022-23, 2023-24 and 2024-25. The company has earmarked an investment of Rs 600 crore plus for a medium density fibre unit, and Rs 200 crore plus in laminates at Andhra Pradesh, a Rs 500 crore plus in particle boards in Tamil Nadu, along with a Rs 100 crore plus in Hosiarpur, Punjab towards setting up new capacity.

The majority of the investment is focused on MDF and particle board, seen as growth areas by the company, even as it announced a new product in the laminates segment. The segment contributes around 20-25 percent of the company’s business, and adding greenfield capacity will raise the contribution level further. The company expects a double-digit growth rate in plywoods and laminates.

The company last year emerged as a successful bidder to modernise a cluster of berths in Calcutta’s Khidderpore Dock, which will boost its container freight services business.

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