Tebma to go slow on expansion

The Chennai-headquartered Tebma Shipyards Ltd in India is going slow on its capacity expansion programme though it is “not affected by economic slowdown”.

P.K. Balan, Chairman, Tebma, said that the company had plans to set up two shipyards in eastern and western coasts. Though offshore vessel building segment is not affected by the slowdown, availability of finance is an issue. The company therefore decided to “take one step at a time” and has firmed up plans to build a shipyard at Dahej, Gujarat. The Gujarat Maritime Board has given the company 100 acres.

Currently, the company has steel fabrication facilities at Chengalpattu near Chennai, Malpe near Udupi in Karnataka, Kochi (through joint venture with Cochin Shipyard Ltd) and a leased facility in Kolkata. Tebma, which is 53% owned by ICICI Ventures, expects to close 2008-09 with a turnover of Rs 500 crore against Rs 400 crore last year. Value of orders on hand is about Rs 1,700 crore.

Balan foresees better growth in the first half of this fiscal year due to commencement of deliveries which will help raise loans from banks for the construction of shipyard at latter part of this year.