India-based connectivity products provider Sterlite Technologies has decided to invest around Rs 250 crore for increasing its optical fiber production capacity.

Sterlite plans to hike its annual manufacturing capacity to 20-million km, which would position the company amongst top three global manufacturers.

Reports suggest that, the expansion would be done by through a combination of brownfield expansion at its existing facility in Aurangabad, and a green-field project. However, the location of the green-field project is yet to be finalized by the company.

At present, the company makes 6 million km of optical fibre and is under the process of expanding it to 12 million km. The capacity addition is expected to be completed by
2011.

Recently, the company's board approved preferential issue of upto 73 lakh warrants. The company intends to utilize the proceeds for expansion plans and general corporate purposes.