Bonfiglioli to review royalty arrangement with Indian arm where appropriate
A capex & expansion development with market-wide reach.
· BS Companies
Bonfiglioli plans to build on its Indian manufacturing base through greater localisation, technology development and exports, while remaining open to capacity expansion and strategic…
The analysis
This is a Capacity / capex event. Capacity added into a soft cycle compresses returns for the whole sector; added into a tight one it is the cheapest growth available. The cycle position matters more than the announcement.