Aparna Enterprises to commission Rs 320 crore tile unit by July
Real estate company Aparna group is all set to commission a major backward integration project, a ₹320-crore tile manufacturing unit at Peddapuram in East Godavari district of Andhra Pradesh.
The two-decade-old Hyderabad-based real estate company has taken up a number of backward integration projects, including manufacture of uPVC windows, sanitary ware, 12 ready mix concrete plants, and brick making, has now diversified into tiles, with a greenfield manufacturing unit.
Expansion plans
The company is also considering a buyout or strategic stake acquisition of a tile unit in Gujarat to expand its product portfolio in the North.
SS Reddy, Chairman and Managing Director of Aparna Group, said, “The company is gearing for the next phase of growth.”
While the real estate-cum-construction company closed last financial year with a turnover of ₹800 crore, the enterprises business which covers several backward integration projects closed with revenues of ₹500 crore.
In the phase one of the tile unit, now ready, ₹200 crore has been invested with a capacity to produce 1.75 lakh sqft of tiles daily. This will be doubled with the completion of the project by next year and contribute to about ₹600 crore revenue, Reddy said.
Realty Ventures
Referring to the real estate business, the CMD said that thus far the company, which has a land bank of over 800 acres, has completed over 18 million sqft of residential space and has a strong pipeline of about 10 million sq ft. “We are also seeking to enter retail, entertainment, and commercial space. This could be through partnerships,” he said.
“The new projects include a luxury apartment venture Aparna Sarovar Zenith and our first affordable housing venture close to the IT hub of Hyderabad,” he said.
The Aparna Sarovar Zenith project will be taken up on a 24.5-acre site where 5 million sqft spread across 2,475 units will be developed. The affordable housing project will have apartments in the 800 to 1,500 sqft size range, priced at ₹20 lakh to ₹45 lakh.
Both these projects will target customers in the financial district offering luxurious lifestyle with good connectivity.