Motilal Oswal private equity funds has invested $66 million (₹528 crore) in Gujarat-based Simpolo Group, a luxury and premium tiles manufacturer that owns Simpolo Vitrified and Nexion International.

The investment was made through India Business Excellence Fund–IV, managed and advised by MO Alternate Investment Advisors and India SME Investments-Fund I, and Motilal Oswal Finvest.

Based out of Morbi, Simpolo has a pan-India presence, with a network of over 1,100 dealers, and exports to over 50 countries. Nexion International is a joint venture between Simpolo and Italian company Emilceramica SpA. On a consolidated basis, Simpolo and Nexion are the largest players in the high-end tiles market, with revenues of $150 million (₹1,200 crore) in FY 2022.

The funds will be used to expand capacity in tiles and sanitaryware, and improve logistics and customer service. Simpolo’s sanitaryware division will expand into the faucets sector.

Prakash Bagla, Director, Motilal Oswal PE, said the luxury and premium tiles segment in India is poised for rapid growth, from about 10 per cent to 40 per cent, as seen in developed markets.

Simpolo and Nexion are well placed to capture this growth, he said.