º£½ÇÊÓƵ

A return to growth in some of its major markets – particularly India – and some astute re-negotiating of its finances seem to have turned things round for Lord Paul’s Caparo Group.

The company saw spectacular growth up until 2007 as a result of its strategy of building up a presence in the fast growing economy of India.

The company’s stated aim was to be the biggest automotive company in Lord Paul’s native country.

But Caparo was hit hard by the recession and had a poor 2008 and 2009, reporting losses and causing its lenders some concerns. Now in a statement, Lord Paul’s son and Caparo chief executive Angad Paul has forecast that 2010’s results will see a return to profitability.

In the meantime Caparo is reported to have signed new agreements with its bank – Barclays – after discussions which took more than a year. The Paul family has injected more money into its Indian operations and has hived off some of its North American interests.

But the group remains ambitious and as economies across the world – particularly India – crank back into life, Caparo remains well-placed to take advantage. If celebrations are a symptom of optimism, then the Paul’s family party at London Zoo – a grand affair which attracted 1500 guests – is a sign of confidence in the future.

The company continues to invest and recent developments include a state-of-the-art welding facility at Caparo Accles & Pollock’s West Bromwich plant which uses the latest welding technology.

The company has three entities on the sub-continent: Caparo Maruti, Caparo Engineering India and Caparo India Private Ltd. Caparo’s first venture in India was back in 1994 when the company set up a joint venture with Maruti, then India’s largest car company.

Lord Paul has set up the Caparo School of Excellence in Manufacturing and Materials Technology in Jalandhar – the town where Lord Paul’s father first set up a business making steel buckets.

Caparo also presses panels and manufactures body structures for Tata’s value-for-money small car, the Nano which sells for around £1,000. Caparo supplies Tata from a new facility in Singur, next to Tata’s factory. The company also has a stamping facility in Pithampur in the Madhya Pradesh region.

Caparo’s success and Lord Paul’s wealth came through the meteoric rise of the Indian and Chinese economies and their insatiable demand for raw materials. Lord Paul of Marylebone’s Black Country-based Caparo Group was founded by the 80-year-old Indian in 1968.

Steel, automotive, engineering and property group Caparo has its major regional office in Oldbury and a technology division on Wolverhampton Science Park. It has other Midland facilities in West Bromwich, Stourbridge and Warwick. Worldwide it has more than 60 sites in Europe, Asia and North America.

In addition one of Lord Paul’s sons, Ambar, heads the family’s fast growing Contemporary Hotels chain.

Lord Paul got caught up in the expenses scandal when he was accused by the House of Lords Privileges and Conduct committee of wrongly claiming nearly £42,000, which he subsequently repaid. He was suspended from the House of Lords for four months.

Lord Paul is chancellor of two universities – Wolverhampton and Westminster. In the House of Lords he is a vocal champion of the economic importance of universities. He has championed a far-reaching high-tech collaboration between Caparo and Wolverhampton University.

He founded the Ambika Paul Charitable Foundation, named after his late daughter, which has donated many millions to good causes.

Despite his wealth, Lord Paul is a strict vegetarian who lives by simple Hindu principles and encourages his employees to show integrity and respect.