KUALA LUMPUR (Feb 8): Daibochi Plastic and Packaging Industry Bhd (Daibochi) intends to spend RM45 million in capital expenditure (capex) to expand its manufacturing facilities by building a new manufacturing plant in Jasin, Melaka.
In a statement today, Thomas Lim, Daibochi’s managing director said the move was in line with the company’s expansion plans.
“The new manufacturing plant will enable us to expand our in-house film-making and metallizing operations to meet current and future needs of our growing clientele. We will commence the construction of the new factory by the 2nd quarter of 2013.”
The capex of RM45 million will be invested over three phases. Phase 1, involving the purchase of land, construction of new facilities and the acquisition of machinery, will cost RM25 million and is targeted for completion in 2013.
Phases 2 and 3 - entailing a further investment of RM20 million is expected to be completed over a 3-year period from 2014 to 2016.
The investment will be funded via a combination of internally-generated funds and bank borrowings.