Endurance plans to set up Asean sourcing office

Anurang Jain is a man in a hurry. The managing director of the Endurance group is scouting for acquisitions in Europe, busy readying a sourcing office overseas, getting set to open shop in Singur to cater to the Tata Rs 1-lakh car and much, much more. Jain is looking at more than trebling turnover of his group to a mind-boggling Rs 5,000 crore by 2010.

The targeted Rs 5,000 crore turnover is a mix of organic and inorganic (in the ratio of 3,200:1,800). Right now, the inorganic component is Rs 400 crore which is an indication of things to come.

Jain’s acquisition strategy is to go for profit making companies, with a strong customer base and technology. “We can add value by outsourcing toolings and other materials from India to further increase profitability,” he says. The company is setting up an overseas office in the ASEAN region for global sourcing.

“We feel that cost pressures are going to increase tremendously. China, according to me, is a major threat. We have made contact with some companies and the idea is to build on that sourcing base. This will also put indirect pressure on Indian suppliers to improve quality and reduce costs,” Jain says.

Endurance is also betting big on Uttarakhand which has seen a slew of big players establishing operations there, a list that includes Mahindra & Mahindra, Bajaj Auto, Tata Motors, Hero Honda etc.

MURALI GOPALAN