Powergear, manufacturer of electrical equipment for power plants, has signed an agreement with Gestamp Corporation of Spain, to establish a joint venture and expand its activities in the wind energy market.

The new entity, Gestamp PowerGear Windsteel, will be setting up a greenfield unit to manufacture wind towers in SriCity, near here. Gestamp will have 60 per cent stake in the equity capital of the new venture.

Addressing presspersons here on Friday, X. Durairaj, Chairman of Powergear, said the plant, with a capacity of 400 towers annually at an outlay of Rs. 150 crore, would go on stream in the last quarter of this financial year. He said Powergear was one of the largest manufacturers of busducts and its clients included GE, Mitsubishi, Siemens, ABB and Alstom.

The company has four facilities, one in Chennai, two in Bangalore and one in Hindupur (Andhra Pradesh) and the products are exported to 21 countries. Recently it had supplied busducts of 800 MW for a nuclear power plant in Mexico, Mr. Durairaj said.

Javier Imaz Rubalcaba, CEO, Gestamp Renewable Industries of the Gestamp group, said the company, with a turnover of five billion euro, was focussed on the steel industry, automotive components and renewable energy with 74 manufacturing plants in 24 countries.

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