Sintex unit buys Nero Plastics for $ 4.7 mln

New Delhi, Dec 3 (UNI) Plastic products manufacturer Sintex Industries Ltd today said its US arm has acquired 100 per cent stake in plastic component maker Nero Plastics Inc for 4.7 million dollars in an all-cash deal.

This is the fourth acquisition by Sintex since June as it focusses on inorganic growth for becoming a key global supplier of plastic and composite auto components.

The current acquisition will add 17.5 million dollars in revenue, and 1.3 million dollars as operating profit. Wausaukee Composites mc (WC), the US arm which Sintex acquired in June, reported revenue of 23 million dollars in 2006.

Both Wausaukee and Nero operate in the auto accessories segment catering to industrial trucks and tractors, and also produce components for medical imaging and mass transit.

''Nero will bring competitive strength in several moulding processes and access to low and medium volume composite fibres, as well as additional capacity in core moulding,'' the company said in a statement.

WC has also bagged a production contract for manufacturing 600 wind turbine generator nacelles over a three year period from a non-conventional energy segment player in the US. ''WC intends to acquire an additional production facility in the US in the regard,'' it added.

UNI