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Berger Paints aims over Rs 5,000 cr in revenues in next 4 years

NEW DELHI: Berger Paints India today said it plans to expand its distribution network across the country as it aims to almost double its revenues in the next four years. 

The company, which is yet to declare its
financial results for the 2012-13 fiscal, posted revenues of around Rs 2,700 crore in the 2011-12 financial year. 

"We are aiming to double our sales to around Rs 5,500 crore in the next four years. For this distribution network needs to be expanded," 
Berger Paints India LtdBSE -0.43 % Managing Director & CEO Abhijit Roy told PTI here. 

Roy added that the company has around 12,000 dealers across the country and the company would try to expand them further. 

"The market leader (in 
paints category) has around 30,000 dealers so in the next three-four years we would like to bridge the gap," Roy said. 

Roy added that the company's sales has witnessed double- digit growth in the the last 3-4 years. 

When asked if the company is planning to 
invest on expansion, Roy said: "We are already in the process of investing on two new plants. While around Rs 220 crore is being invested on a facility near Bangalore, another plant is coming up near Pune." 

He added that while the facility near Bangalore would manufacture water based paints, the second plant near Pune would cater to industrial segment. 

When asked about the company's plans regarding marketing spend, Roy said: "We spent around Rs 50 crore on marketing activities last year. It will keep increasing by 15-20 per cent per annum." 

The Kolkata-based firm that manufactures and markets a range of decorative and industrial paint products under various product brands, today launched an exclusive range of home decor in association with 
Sussanne Roshan. 

Shares of Berger Paints were quoting at Rs 233.20 on the 
BSE in late afternoon trade, down 1.60 per cent from their previous close.