>AIA ENGINEERING (SUNIDHI)

Company Description:
AIAEL was incorporated on March 1991 as Magotteaux (India) Pvt. Ltd. Ahmedabad. Induction Alloys Pvt. Ltd was merged with the company in 1992 and the name of the company was changed to AIA Magotteaux Pvt. Ltd. Due to the termination of joint venture with Magotteaux
International SA, Belgium in 2000 the name of the company was again changed to AIA Engineering. It manufactures 'mill internals' used by industries such as cement, mining and thermal power plants for crushing and grinding of the production process. It tapped the capital market in Nov 2005 with an issue of 47 lakh shares at a price of Rs 315 per share of Rs 10 each aggregating Rs 148 crore for expansion.

Highlights:
AIAEL sells its products to all major cement groups including Lafarge, Holcim, Heidelberger, and original equipment manufacturers such as FL Smidth, Polysius and major thermal power plants and mines. AIAE has also made inroads into China - the largest market for grinding media in
the world.

Even nearly 70% of the company`s business comes from replacement demand. It has customers in 70 countries. Nearly 57% of the company revenue comes from export.

Debottlenecking will expand capacity by 25,000 -35,000 tpa taking the total capacity to 200,000 tpa by FY10 end.

AIAEL continues to eye the SEZ land for its new facility as international revenues are likely to increase to 75-80% of revenues by FY11. AIA has already identified 2 proposed SEZ facilities, which are yet to be notified.

However, if the proposed SEZ’s do not get notification, then AIAEL may look at expanding its capacity at its existing facilities by further 50,000 tons facility for meeting its demand for its mill internals.

To see full report: AIA ENGINEERING