KEC International along with north
American engineering company Power Engineers has formed a 50:50 joint venture
company - KEC Power.
Power Engineers will provide technical
assistance to KEC's new projects, while KEC International will supply towers.
KEC will bid for transmission EPC business for power transmission projects in
the North American market through KEC Power.
Recently, KEC had also announced that,
its group companies RPG Transmission & National Information Technologies (NITEL)
have merged into KEC International. Also, its investment division will be
de-merged into a new company, which will be listed on the exchange. The merger
will result in KEC becoming the largest transmission company globally with total
tower manufacturing capacity of 161,000 tpa. RPGT has a surplus capacity of
about 15,000 tpa, which will be utilized by KEC for its requirements in the
international markets.
Also, KEC will be able to bring down
overall costs and the merger will help the company to operate in various
verticals such as telecom, railways-related businesses, power transmission and
rural electrification.