Electronics maker Elista India will invest Rs 250 crore to set up a manufacturing facility in Kadapa, Andhra Pradesh in five years, which will help the company meet domestic and export market demand, said Chairman and Managing Director Saket Gaurav.
The investment for the new plant would be financed equally from equity and debt as the company is in talks with some financial institutions, Gaurav said.
“We plan to make our investments in stages. Initially, we will invest around Rs 50 crore, which will produce nearly 1 million units of smart TVs and monitors,” he said, adding, “In five years, we will invest almost Rs 250 crore in this facility.”
The company plans to enter the production of household appliances such as refrigerators, washing machines and dishwashers at this plant, Gaurav said, adding that it would create around 500 jobs.
“The revenue we can generate from this facility would be almost Rs. 1,500 crore (when fully completed) combined from domestic and export,” he added.
When asked about the company’s current revenue, Gaurav said it expects to grow about 8-10 percent in the current fiscal year and finishes the fiscal year with revenue of about Rs 200 billion.
The company has recently penetrated the UAE market, where it has launched its products and has ambitions to expand to other regions as well.
According to Gaurav, the domestic market would have measured growth opportunities, but the export market has huge potential with several companies redirecting manufacturing orders from China to India.
Now India is considered a key manufacturing destination, he added.
“We are also looking forward to serving the domestic market, which is showing very strong growth, while focusing on growth in the export market,” he said.
The Company expects the export market to contribute 60 percent of the total projected sales of its Andhra plant.
Founded in 2020, Elista is part of the United Arab Emirates-based TeknoDome Group. The product portfolio includes devices such as LED televisions, washing machines, cool boxes, dishwashers, refrigerators, IT accessories, mobile accessories and speakers.