The company expects to garner $650 million in revenues in 2006, the new head said.
Power Machines produces equipment for hydro, thermal, gas and nuclear power plants, and the transportation industry. The company has clients in 87 countries. Its revenues totaled almost $600 million in 2005, including $7.1 million in net profit.
Vainzikher said the company will decide by the end of the year on financing its technical modernization. An additional issue of shares is viewed as a possible source of funding.
Sergei Batekhin, the company's board chairman, said a modernization plan based on the results of a technical audit has been considered. "We need around $300-350 million for technical modernization," he said.
Speaking on the source of funding, Batekhin said: "It can be a public placement of shares or an offering, work with financial companies and involvement in state programs." He said the decision will depend on the cost and economic efficiency of the funds to be attracted.
The controlling stakes in the company are held by the German engineering giant Siemens (25% plus one share) and Russia's UES, which owns a similar stake.
