Lumax Auto Technologies has announced the approval of its Board of Directors for a new mechatronics manufacturing facility in Manesar, Haryana, with a capital outlay of approximately ₹150 crore. This facility aims to cater to electronic components for leading OEMs, with an expected peak annualized turnover of around ₹500 crore. Additionally, the board approved issuing a corporate guarantee of up to ₹15 crore to secure a loan for its subsidiary, Lumax Greenfuel Energy Solutions Private Limited.
Major Expansion and Funding Approved
Lumax Auto Technologies Limited’s Board of Directors has given the green light to a significant capital expenditure project, involving the establishment of a new mechatronics manufacturing facility in Manesar, Haryana. The total capital outlay for this new facility is estimated at approximately ₹150 crore. This strategic move is intended to bolster the company’s capacity for producing electronic components, including Body Control Modules, vital for leading Original Equipment Manufacturers (OEMs).
Projected Impact and Funding
The company anticipates that this new facility will significantly contribute to its growth, with an expected peak annualized turnover reaching around ₹500 crore post-commissioning. The capital expenditure for this project will be funded through a combination of debt and internal accruals. The project is slated for commissioning in two phases, with the initial phase expected to commence in Q3 FY 2028.
Subsidiary Funding Secured
In a separate but crucial decision, the Board also approved the issuance of a corporate guarantee, letter of comfort, or post-dated cheques to secure a loan for its subsidiary, Lumax Greenfuel Energy Solutions Private Limited (LGESPL). This guarantee will cover an additional amount of up to ₹15 crore (Rupees Fifteen Crores Only). This financial support is intended to facilitate LGESPL’s availing of funds from banks, financial institutions, or Non-Banking Finance Companies (NBFCs) to meet its capital expenditure and working capital requirements.
Facility Relocation Noted
The Board also took note of the relocation of one of the company’s manufacturing facilities from Plot No. 7-10, 23-25, Gat No. 53, Sahajapur, Aurangabad, to Plot No. B 14/2, MIDC Waluj, Chhatrapati Sambhajinagar, Maharashtra.
Source: BSE
