Homeeconomy News

    Bharat Forge may not look at pure acquisitions, says ED Amit Kalyani

    economy | IST

    Bharat Forge may not look at pure acquisitions, says ED Amit Kalyani

    Mini

    The World Economic Forum's (WEF) annual meeting is underway in Davos and CNBC-TV18 has been getting all the exclusive interviews with the India Inc captains and the top policymakers. Amit Kalyani, executive director of Bharat Forge, shared his outlook for the year ahead.

    The World Economic Forum's (WEF) annual meeting is underway in Davos and CNBC-TV18 has been getting all the exclusive interviews with the India Inc captains and the top policymakers. Amit Kalyani, executive director of Bharat Forge, shared his outlook for the year ahead.
    “While there is a lot of uncertainty globally, people are looking at the emerging markets (EMs) and countries like India as a bright spot. So there is a lot of focus on what opportunities lie in India, what can India do and how Indian industry and Indian economy can be a growth driver globally for many of the companies that are participating here,” Kalyani said.
    On the US government shutdown, he said, “Things that are happening in US market are rather unprecedented. The whole government shut down for more than five weeks is something that has never happened before and these are complete outliers which one cannot model, one cannot even anticipate. So these definitely affects overall sentiment, it affects the gross domestic product (GDP) and it will have some kind of an impact on the economy and its demand but there are enough other growth drivers that we have as a company in the industrial sector, in the non-automotive sectors in aerospace in many of the other businesses that we were incubating where we see ample growth opportunities.”
    Speaking about acquisitions, Kalyani said that, “I don’t know if we would look at pure acquisitions this time. Possible if there are some niche companies and niche technologies that we want to look at.”
    “The whole area of mobility, we are creating a pulse there where we want to offer the entire e-mobility solution to our customers, so there are some gaps there which we will fill and they are largely on the embedded systems and the softer side of things which we will look at but I think if there is a downturn in the US and capacities close down, there will be an opportunity to buy facilities, retool them to make state of the art products in a more automated and less laborious way. So those are the kind of approaches that we will look at, hybrid acquisition strategy probably rather than a conventional one,” he added.
    Talking about the investment situation in India, Kalyani explained that, “We are running at pretty high capacity utilisation and last year we announced that we would make overall capex of somewhere in the region of Rs 800-1,000 crore over the next two and a half years. That is undergoing.”
     
    Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
    next story

      Most Read

      Market Movers

      View All
      CompanyPriceChng%Chng