Kinetic eyes tie-ups, new models

Kinetic Motors on Monday said it was considering going in for restructuring, which would see the company increase authorised share capital and enter into strategic tie-ups and joint ventures, apart from launching new models.

"There are good opportunities in two-wheeler market and considering the need for launching new models, business restructuring, better fund management and to become globally competitive, higher levels of investment are required to be made," the company said.

In a communique to the Bombay Stock Exchange, the company said it has "been exploring and evaluating possibilities of strategic tie-ups, joint ventures and has been considering various options for short-term/long-term financial resources from domestic/international market at appropriate time."

These observations, it said, were made at a meeting of the Board of Directors on Saturday, which also decided to increase the authorised share capital from the existing Rs 20 crore (Rs 200 million) to Rs 35 crore (Rs 350 million), subject to the consent of shareholders.

The Board has also decided to extend the current accounting year of the company by six months so as to close on September 30, 2005, subject to necessary approvals.