Bilt chairman LM Thapar told The Financial Express that his company was negotiating takeovers with a couple of paper companies. He, however, refused to divulge the names of these companies. ``It is too early to take names,'' he said.

Bilt plans to invest over Rs 800 crore in modernisation and augmentation of its manufacturing capacities over the next five to six years. The modalities of funding the expansion and modernisation programme are being workedout.

With Gautam Thapar taking over as the new managing director and the company emerging out of the red, clocking a net profit of Rs 5.26 crore in the quarter ended March 1999, Bilt plans to aggressively expand its capacities in order to stand up to international competition.

Bilt plans to increase its presence in the industrial paper segment which isthe fastest growing sector in the paper industry. Another focus area is brand building of its paper products. The company plans to have four to five umbrella brands in the next two to three years.

LM Thapar said Bilt had to increase its capacities to international level to remain a profitable leader in the Indian paper market. ``We have to benchmark ourselves against international companies,'' he said.

Thapar said he had handed over the day-to-day management and major policy decisions to his nephew Gautam Thapar but they continue to actively interact on important company matters. ``I am very much around to guide and advice the company,'' Thapar said but maintained that he would not get involved in day-to-day affairs of the company.

Bilt expects to consolidate its financial position from the sale of its equity stakes in two joint ventures in Thailand and Malaysia and Maersk Shipping Lines. Bilt holds 16 per cent in Phoenix of Thailand and over 65 per cent in JG Malaysia. It also holds 20 per cent stakein Maersk Shipping Lines. The sale of equity in these three ventures is expected to fetch Rs 100 crore.

Bilt is being split into three companies -- Bilt Paper, Bilt Chemicals and Janpath Investments with effect from April 1, 1998. Post trifurcation, Bilt will have a debt burden of Rs 800 crore.

The company expects to achieve a turnover of Rs 750 crore in the nine-month period ending June 1999. The company has decided to change its financial year to June ending. It had extended its previous year to September 30, 1998. Net profit during the nine-month period ended is expected to be around Rs 16 crore.

Turnover target for the year ended June 2000 has been fixed at Rs 1,000 crore with a net profit of Rs 16 crore.