New York Stock Exchange-listed LyondellBasell has acquired Aurangabad-based privately-owned polypropylene compounds manufacturer SJS Plastiblends Pvt. Ltd for an undisclosed amount.
The acquisition agreement signed on Friday is expected to be closed by this year-end, said the company in a statement.
The acquisition of the Indian company is expected to expand the existing footprint of LyondellBasell in India and enhance its position in the growing Indian automotive market.
Established in 1996, SJS has annual production capacity of about 12,000 tonnes of polypropylene compounds that are used in the production of thermoplastic materials for the automotive, home appliances and other industry. It employs about 60 people.
Bhavesh V (Bob) Patel, CEO and Chairman of the Management Board, LyondellBasell, said the deal will expand its global manufacturing footprint and help compete in the long-term growth in the domestic automotive market.
Fourth largest auto market India is the fourth largest automobile market with three million new vehicles produced each year.
It is expected to register annual growth of six to eight per cent by 2021.
LyondellBasell, which has been supplying products to India through imports since 2009, has 55 manufacturing plants in eight countries.
Correction
This copy has been modified to correct the Indian company's name to SJS Plastiblends Pvt Ltd, from Plastiblends India Ltd (which is listed on both the NSE and the BSE). SJS Plastiblends is an unlisted company.
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Published on August 10, 2015
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