New Delhi, Jul 14 (UNI) SRF Limited, the domestic market leader in technical textiles, refrigerant gases and supplier of other fluorochemical products and polyester films, said it has signed a definitive agreement for acquiring the belting fabrics business of Industex Technical Textiles (Pty) Limited for Rs 20 crore.
The South Africa-based company has an annual production capacity of about 3,500 tonnes per annum (TPA) of belting fabrics with annual sales of about 16 million dollars.
With this deal, SRF improves its world ranking from the third largest player to second largest player in the arena of belting fabrics business.
Presently, SRF has a capacity of 7,500 TPA, with its manufacturing unit at Trichy.
India's largest player in belting business, SRF has a market share of 50 per cent.
The company's exports account for 57 per cent of the sales.
The acquisition, coming through one of SRF's international subsidiaries, costing about Rs 20 crore including working capital.
Post acquisition, the entity will be known as SRF Industex Belting (Pty) Limited.
The deal comes close on the heels of the Rs 100 crore definitive agreement signed by SRF for the acquisition of Thai Baroda Industries Limited (TBIL), a Thailand-based tyre cord company. The agreement for TBIL was signed on May 27th 2008, said a company releaseissued here today.
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