Linde Group plans to invest 1 billion euros in BOC India

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Germany's Linde Group plans to invest euros 1 billion euros in its unit BOC India Ltd over 7-10 years, a senior official said on Thursday.

The funds will help industrial gas supplier BOC set up gas units in India, Sanjiv Lamba, managing director of south & east Asia, Linde Gas Asia Pte Ltd, said.

"Major part of the investments will go to gas plants in steel units," he said.

Gas projects in steel units currently generate a little less than half of BOC's revenue.

BOC has gas units in plants of steel makers such as Tata Steel and Steel Authority of India among others.

"We feel good growth coming from oil, pharma and renewable energy sectors."

BOC is evaluating emerging opportunities for industrial gases in glass, fibreoptics and food sectors and wants to maintain the lead in the healthcare sector, Lamba said.

It has recently won a five-year contract to supply gases used to capture and convert sun rays to electrical energy to Moser Baer for its photo-voltaic unit in north India.

"We see good growth from renewable energy sector that is picking up in India," Lamba said.

"This is in line with Linde's global strategy to make inroads into emerging applications and alternate energy is one of them."

BOC competes with the Indian unit of Praxair Inc, also supplying speciality gases for industrial uses.

"Prices are under pressure as competition has increased and input costs have gone up," SM Datta chairman, BOC India, said at the annual general meeting. BOC posted net profit of Rs 138.9 million on net sales of Rs 1.3 billion for the quarter ended March 31. BOC shares ended 0.06% up at Rs 158.20 in the Mumbai market.