Ramky Enviro Engineers eyes expansion with investment worth Rs 3,500 cr
The funding for the project will be met with internal accruals and debt
Ramky Enviro Engineers is in expansion mode as it takes up waste-to-energy projects in India, West Asia and Africa.
The company will make an investment of Rs 3,500 crore over the next three years.
The company registered a turnover of Rs 2,500 crore in FY20. The company plans to triple the revenue within three years as it is expanding business in India and some of the emerging markets in West Asia and Africa.
Of the Rs 2,500 crore revenue in FY20, Rs 1,800 crore was from India and Rs 700 crore from the overseas business.
The company intends to expand not just in the waste-to-energy projects business, but also in other waste management solutions for healthcare, industries and other segments and in the overseas business.
The funding for the project will be met with internal accruals and debt. The company has an investment of around $510 million from private equity firm KKR.
A waste-to-energy project of 24 MW set up in Delhi with an investment of Rs 450 crore has been functioning and the company is in discussions for more such projects.
It has a pipeline of around 160-200 MW of projects across several cities in the country which will require an investment of Rs 2,500-3,000 crore.
Apart from this, Rs 450 crore project in Hyderabad, Telangana is at advanced stage and is set for commissioning in July or August 2020 and will have a total capacity of 19.8 MW. The project got delayed due to some clearances.
The company is also in discussions for a 48 MW waste-to-energy project in Hyderabad involving an outlay of around Rs 800 crore.