What to watch. Will expansion plan drive Omax Autos?

The board of Omax Autos on Thursday approved a proposal for diversification and expansion of its existing capacity for manufacturing products/equipment supplied to Railways. The capacity expansion will be added in two-three years in phases at an investment of ₹100-120 crore. The company will finance it through the sale of surplus assets, internal accruals and external borrowings. The move aims at effective utilisation of resources and expansion of revenue streams.