Ganesha Ecosphere Announces Major Capacity Expansion for rPET Production
Ganesha Ecosphere Limited has revealed plans to expand the capacity of its wholly owned subsidiary, GANESHA ECO PET PRIVATE LIMITED. The key details of the expansion are as follows:
- Increase in Production Capacity: Ganesha Ecosphere will enhance its production capacity by 90,000 tons per annum (TPA). This includes a previously announced expansion of 45,000 TPA from the prior notice dated 12th November, 2024.
- New Greenfield Project in Odisha: The company will establish a greenfield project in Odisha with a production capacity of 67,500 TPA. This facility will focus on manufacturing rPET Chips/Granules.
- Expansion of Warangal Plant: The Warangal Plant’s capacity will be increased from 42,000 TPA to 64,500 TPA.
- Existing Capacity: Prior to the expansion, the existing production capacity stands at 42,000 TPA.
- Current Capacity Utilization: The current capacity utilization is around 75%.
- Timeline: The capacity expansion is expected to be completed within 18 months.
- Investment Required: The expansion will require an estimated investment of Rs. 700-750 Crore.
- Financing Plan: The funding for the expansion will come from a combination of debt, equity, and internal accruals.
- Rationale for Expansion: This capacity increase is part of Ganesha Ecosphere’s broader business growth strategy.
- Note: The timeline, investment estimate, and financing method are subject to change based on management’s assessment.