MAG Holdings expands with Rs 150 m investment

Ramani KANGARAARACHCHI

MAG Holdings, a member of Kandy Tyre Company amalgamated two of its companies for a massive expansion with an investment of Rs 150 million recently.

Mag Storage, importers of ‘President’ batteries and ‘Magleaf Springs’ manufacturers of Mag springs are the two companies that were amalgamated.

The new company will be Mag Industries, MAG Holdings Managing Director Chaminda Goonathilake told Daily News Business. These two companies are well-known for high quality products in the local market.

Goonatilake said a new market has emerged locally and internationally for their products following the end of the war resulting in economic development. “The factory at the Pallekelle BOI zone will be renovated utilizing sophisticated machinery and new technology to meet the surging demand,” he said.

The company will ensure the distribution of their products islandwide as well as meet the demand for the export of spring leafs. The company is also planning to team up with the main battery supplier to establish a factory to assemble batteries in Sri Lanka.

This will help save foreign exchange and improve the local economy creating a large number of employment opportunities in the country.

There is a demand of around 250,000 vehicle batteries per annum in the country.

There will be demand from North and East with the development of transport in these areas.