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Tube Investments Eyes EV, Medical Growth with ₹650 Cr Capex
14 May
Summary
- TII plans ₹650-700 crore capex for FY27.
- Electric vehicle demand is strong but faces infrastructure challenges.
- Medical devices business aims for 15-20% annual growth.
Tube Investments of India (TII) plans a significant capital expenditure of ₹300-350 crore for its core operations and an additional ₹300 crore for subsidiaries in FY27. This investment strategy aims to bolster its burgeoning electric vehicle (EV) and medical device businesses.
The company is experiencing robust demand for its electric commercial vehicles, particularly heavy and small trucks. However, the deployment of these vehicles is currently constrained by limitations in financing options and the availability of charging infrastructure, according to managing director Mukesh Ahuja.
The medical devices division is anticipated to grow by 15-20% annually. This growth will be supported by an expansion in wound care and the establishment of IV cannula manufacturing through a recent asset acquisition in Ambala, with commercial production expected by Q2 FY27.
TI Clean Mobility, a subsidiary, maintains its leadership in the electric truck segment with approximately 28% market share. The company is also finalizing the commissioning of its Naidupeta CDMO facility, with commercial production slated to begin next quarter.
