The Saroj Poddar-led group of companies, including Zuari Industries, Texmaco and Paradep Phosphates, have announced a new unified corporate entity, Adventz Industries India Ltd.
Brand 'Adventz' will comprise all 21 of the group's companies. It will invest $2 billion (Rs10,000 crore) in the next four years ''to expand our businesses across the 21 companies", Suresh Krishnan, managing director of Adventz, told newspersons in New Delhi.
He said the group was targeting a turnover of $5 billion in the next five years.
"We are in the process of finalising the marketing and promotional plan for the new identity," Krishnan said.
"Currently, the group's turnover is around $2.5 billion, which is likely to go up to $3 billion in the next fiscal. Over a period of five years, we are looking at a figure of $5 billion," he said.
Most of the new investment will be for setting up a new fertiliser plant in Karnataka and for acquiring assets in the fertiliser business.
The group's flagship firm, Zuari Industries, will be setting up a Rs5,000 crore gas-based urea plant in Karnataka with an annual capacity of 1.3 million tonnes a year. It will be built near the Dabhol-Bangalore gas pipeline project, which is expected to be completed by 2012-13.
Other focus areas of the group will be retail, real estate, financial services, and brokerage business. "Over the next few years, we would look at consolidating out position in the diverse range of businesses that we are in," Krishnan said.
All the products and services offered by the group companies will bear the new logo and brand name going ahead.
The group operates in areas such as fertilisers, heavy industry, engineering services, consumer durables, real estate and financial services.
The main companies in the group are Zuari Industries (fertilisers and agriculture services), Texmaco Rail and Engineering Ltd, Adventz Infra World Ltd , Style Spa Furniture among others.
Texmaco in Japan JV talks
Texmaco Rail and Engineering Ltd, which makes freight cars, has JVs and collaboration with UGL Rail Services Ltd, Australia and Bombardier, Canada. Poddar said Texmaco was in talks with a Japanese consortium for an equal JV to make suburban train coaches.
The remarks sent its shares up by as much as six per cent in Mumbai trading.
"We are looking for a joint venture partner for both EMU (electric multiple unit) coaches and metro coaches," he told reporters, adding the deal may be finalised in three months. The new plant will be located at the existing factories and, thus, would not require huge investments, he said.
Texmaco makes 20-25 rail wagons per day and plans to invest Rs75-100 crore in two years to ramp up capacity, Poddar said. With the proposed JV, Texmaco will be able to produce coaches for suburban trains as well.