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Cera Sanitaryware approves capex for expansion projects

Tuesday, 10 May 2022
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The Board of Directors of Cera Sanitaryware has approved project capex for the expansion of greenfield sanitaryware plant and brownfield faucet ware plant. 
 
The present capacity of the sanitaryware is 25 lakh pieces per annum and that of faucet ware is 30 lakh pieces per annum. The existing capacity utilisation is 90 to 100 percent. 
 
The company will undertake capacity addition in phased manner. The Phase-1 will see capacity addition for sanitaryware to 12 lakh pieces per annum further expandable to 12 lakh pieces per annum in Phase-2. 
 
The capacity addition for faucet ware under Phase-I will be 12 lakh pieces per annum further expandable to 24 lacs pieces per annum in Phase-2. 
 
After completion of Phase-1, the board will review the expansion for Phase-2 for both, sanitaryware and faucet ware. 
 
The greenfield expansion of sanitaryware will incur an investment of Rs 128 crore. The project is to be completed in 24 to 30 months. Similarly, brownfield expansion of faucet ware will see an investment of Rs 69 crore. The project is to be completed in 12 months period. 
 
The investment for the projects will be through internal accruals only and no debt raising will be envisaged.
 
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