Craftsman Automation Limited — Important, 29-01-2025: Updates

The Board of Craftsman Automation Limited has approved the establishment of a new manufacturing facility at SIPCOT Industrial Park, Shoolagiri, Hosur, aimed at increasing their capacity for aluminium products by 15%. The current average capacity utilization stands at 75%, indicating the need for expansion to meet demand. The investment for this project is estimated at ₹150 crore, with financing structured as 90% through term loans and the remainder from internal accruals. The facility is expected to be operational within 9-12 months and strategically located to serve major two-wheeler and passenger car OEMs in Southern India. This development suggests a positive outlook given the growing automotive component market and proximity to key clients. Investors should watch closely for progress on this new capacity addition as it may enhance the company’s market position and profitability.