New Delhi, Jan 12 || Maruti Suzuki India Limited, the country’s largest car manufacturer, on Monday informed that its board has approved a Rs 4,960-crore proposal to acquire land for expansion of its manufacturing capacity in Gujarat.
The land acquisition is for the expansion of production capacity at Khoraj Industrial Estate from Gujarat Industrial Development Corporation, and “the proposed capacity addition is up to 1 million (10 lakh) units”, Maruti Suzuki India said in an exchange filing.
"The cost of land acquisition, development, and preparatory activities approved by the board is Rs 4,960 crore," it said, adding that the overall investment would be finalised and approved by the board while framing the phases of installation of capacity.
The mode of financing would be a combination of internal accruals and external borrowings, Maruti Suzuki India said.
“The total existing capacity is around 24 lakh units per annum in Gurugram, Manesar, Kharkhoda, and Hansalpur, with a capability to produce 26 lakh units per annum. This includes the units produced at erstwhile Suzuki Motor Gujarat Private Limited, which has been amalgamated with the Company,” the filing said.