BirlaNu (formerly HIL) plans to establish a new fibre cement board plant in Hyderabad as part of its greenfield expansion plans.

The estimated investment on the manufacturing facility is ₹167 crore, including cost of acquisition of land parcel, the home and building products and services, the company said while announcing its Board’s approval for the proposal.

The capacity proposed to be added is 72,000 tonnes boards per annum and the project is expected to be completed in 24 months. The existing capacity is 1.32 lakh tonnes per annum and current capacity utilisation is 80%, BirlaNu said in a filing to the stock exchange.

The company said the capacity expansion would facilitate strategically scale operations, expand premium product lines and achieve competitive advantage through enhanced market accessibility. It intends to finance the expansion through internal accruals and borrowings.