The $1.5 billion Kalyani group is planning acquisitions and partnerships in China to attain top slot in the forged auto components business worldwide. It is also planning investments in green-field projects in the US, Sweden, UK and Germany.
"We are considering acquisitions partnerships and green-field projects with the Chinese companies either in our line of business or in similar operations," said B N Kalyani, group chairman and managing director. China has a big market and many of Kalyani's clients are there, he said at the unveiling of the group's new logo.
The company has already been supplying components to Chinese automakers such as FAW and Dung Fung for the last four years.
The logo, which is a stylized stroke of 'K' for Kalyani is expected to help the group bring all its products and brands under one umbrella. "Over the next two years we will be focusing on consolidation and value addition to our existing businesses. We believe that a strong brand identity will be essential for this exercise," Kalyani said.
The group has just invested Rs 600 crore (Rs 6 billion) in its Pune plant to double capacity from the present 1,60,000 tonne to 2,40,000 tonne.
The group's plants abroad have a capacity of 2,60,000 tonne. The expansion plan is expected to be completed by the end of this fiscal, Kalyani said.
It recently raised $220 million in GDR and ECCB issues and Rs 120 crore (Rs 1.2 billion) through its rights and warrants issues domestically, to fund the ambitious expansion plan of $100 million.
Bharat Forge, the group's flagship company supplies auto parts to Daimmler, Chrylser, BMW, Volkswagen, Audi, Toyota, General Motors, Ford, Renault, Honda, Volvo and Cummins among others.
BFL and its subsidiaries already hold 50 per cent of the world market in chasis components for trucks, 20 per cent of the market for car chasis components and 10 per cent of the market for engine components.