The Hindu Business Line : GKB Ophthalmics ties up with Spanish co

Panaji, Sept. 9 The Goa-based GKB Ophthalmics Ltd, an eye-care product manufacturer and marketer, has signed a joint venture pact with Spain-based multinational company Indo to market the latter’s high-end optical and ophthalmic products, including high precision equipment, in the Indian and Asian markets.

“The joint venture — Indo Prime Visual Technologies Pvt Ld — with 50 per cent holding by both the groups represents one more step for Indo in its aim for increasing its representation in the Asian market. This agreement would boost the equipment business unit, currently representing 28 per cent of Indo’s total income,” said the Chief Executive Officer of Indo, Mr S.A. Antoni Olivella Cunhil.

Mr K.G. Gupta, Chairman and CEO of GKB Ltd, Mr Vikram Gupta and Mr Gaurav Gupta, Directors of GKB Prime, were present on the occasion.

While initially the joint venture would import Indo’s products into the country, the move is to develop Goa into a manufacturing base for high precision equipment and quality products, including frames and lenses, said Mr K.G. Gupta. The plan is to outsource production from Goa for the Asian markets in the future. Mr Gupta said the agreement between the two companies was a small step in the innovation and the growth of the ophthalmic industry and the equipment manufactured by Indo would be imported and sold to those in trade in the Indian market.

Mr Cunhil said Indo has already established itself in the West Asian countries, with high value-added products. Mr Ignasi Mira Figueras, Director, Indo S.A., Spain, said the present agreement considers only distribution of optical equipment. However, it might be extended to two other business units of the Spanish group — frames and lenses.

The multinational, which has finalised an increase in capital of €16 million, is expecting to get significant benefits in the mid-term.

Indo, with an extended distribution network in Europe, US, Latin America and West Asia, expects to cater to the Indian optical market with its huge growing potential.

“This represents the most challenging experience for Indo in its Asian expansion and experience of a long established Indian partner will be of immense support to us to meet our goals,” said Mr Cunhil.

“At present, the capital investment in the joint venture is very small, but as the scope of our activities magnifies so will the investment,” said Mr Cunill and Mr Gupta.

GKB Ophthalmics group comprises two export-oriented units based in Goa and a network of 9 Prime laboratories spread all over India. It has been a prominent player in the optical industry since 1983 and the group has its overseas offices in Germany, Dubai and the US, with lenses export of Rs 60 crore and domestic sales of Rs 24 crore.

GKB Prime group will be an active partner of the new joint venture and will use its marketing and service infrastructure to market Indo products to optical establishments all over India.

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