Lokesh Machines Limited (LML) looks a good buy at 147
The recent Volkswagen fiasco notwithstanding, Andhra Pradesh may finally get its long-cherished car project.
And the man steering this project is Mr B.V.R. Subbu, credited with the success story of the Korean auto major Hyundai in India as the head of its operations.
After quitting the company early this year, Mr Subbu is now partnering with Hyderabad-based Lokesh Machines Limited (LML) to set up a Rs 1,400-crore automobile plant in the state.
The new plant will have Italian automobile major Fiat as its technology partner. The focus of the project will be on passenger cars, to be priced in the range of Rs 2.5 lakh-Rs 3 lakh, under 1,400 cc engine capacity.
The new plant will have a capacity to manufacture 60,000-65,000 small passenger cars, 40,000 units of light commercial vehicles with 1-2 tonne capacity range, and 40,000 units of three-wheeler cabs per annum.
The Andhra Pradesh Government is likely to allot 200 acres of land for the purpose in the neighbouring Ranga Reddy or Medak district.
Sources said the project was expected to start in 18 months. The project will be taken up through MLR Motors Ltd, a sister concern of LML, promoted by Mr Lokeshwara Rao.
The recent Volkswagen fiasco notwithstanding, Andhra Pradesh may finally get its long-cherished car project.
And the man steering this project is Mr B.V.R. Subbu, credited with the success story of the Korean auto major Hyundai in India as the head of its operations.
After quitting the company early this year, Mr Subbu is now partnering with Hyderabad-based Lokesh Machines Limited (LML) to set up a Rs 1,400-crore automobile plant in the state.
The new plant will have Italian automobile major Fiat as its technology partner. The focus of the project will be on passenger cars, to be priced in the range of Rs 2.5 lakh-Rs 3 lakh, under 1,400 cc engine capacity.
The new plant will have a capacity to manufacture 60,000-65,000 small passenger cars, 40,000 units of light commercial vehicles with 1-2 tonne capacity range, and 40,000 units of three-wheeler cabs per annum.
The Andhra Pradesh Government is likely to allot 200 acres of land for the purpose in the neighbouring Ranga Reddy or Medak district.
Sources said the project was expected to start in 18 months. The project will be taken up through MLR Motors Ltd, a sister concern of LML, promoted by Mr Lokeshwara Rao.
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