HEC to enter N-power, in talks for rail foray
Public sector engineering major Heavy Engineering Corporation (HEC) is set to foray into the nuclear segment, and is scouting for partners.
“We have developed a special forging technology for the nuclear sector. India is the sixth country to have such a technology. So, we are looking for partners for optimum utilisation of our assets. Nuclear Power Corporation representatives have already visited our plant and are keen on the project,” Chairman and Managing Director G K Pillai said at a Confederation of Indian Industries (CII) meet here on Saturday. Regarding partnership, he said the company was open to forming a joint venture.
Meanwhile, the company has approached the Centre to seek Rs 500 crore. “We need funds to upgrade our facilities,” he added.
HEC has charted a plan to make electric engines for the railways. It is in touch with Siemens to import electric parts for the project, while the remaining engines will be assembled at HEC’s Ranchi plant.
“We are in talks with the Centre for project clearance, and will finalise it in six-eight months,” Pillai said. If the project works out, we would need another Rs 500 crore capital for capacity expansion, he said.
With these projects lined up, the company expects its revenues to touch Rs 3,000 crore in two-three years.
HEC had been referred to the Board of Industrial and Financial Reconstruction (BIFR). “We came out of BIFR in 2009, and the company has a positive net worth,” he said.
With 21 Indian cities to be connected with the Metro, HEC is also in talks with Ansaldo for making Metro coaches. “At present, our capacity utilisation is 30 per cent with these projects, but it will increase considerably. We would also like to list the company in the next two years,” Pillai added.
Talks are also on with HMT, another public sector undertaking, for takeover by HEC. Pillai said HMT was a sick company and HEC was on a recovery track, and hence, not particularly keen on the proposal.