The Hindu Business Line : French co Saft picks up stake in Amco

Industrial battery maker Saft has picked up 51 per cent stake in Amco Power Systems, an Amalgamation Group company, to float a joint venture in India.

The President and CEO of the Saft Group, a French company, Mr John Searle, told newspersons on Wednesday that the joint venture, Amco Saft India, will make nickel-cadmium and lithium batteries for the infrastructure and the defence industries in the country and neighbouring countries.

"We will focus on the aircraft and the oil industries and the Railways apart from supplying batteries to the military," Mr Searle said.

He said the market for the back-up battery was around $15 million in India. The batteries will be manufactured at Amco's factory in Bangalore. Amco also makes lead batteries for the automobile industry but the current joint venture will keep away from this market.

Amco had a licensing arrangement with Saft earlier. Amco has already supplied industrial batteries for the first phase of the Delhi Metro.

Huge opportunities seen

Mr Searle said globally, the industrial battery segment was growing at 10 per cent every year and there was a huge opportunity in countries like India, which was making massive investment in infrastructure development. Saft also has a factory in China to cater to the local market.

Mr Searle said the company wants to focus more on the Asian markets, which were the fastest growing in the world. Saft has an annual turnover of around 600 million Euros and has 16 manufacturing locations across the world.

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