Jain Irrigation acquires Chapin Watermatics Inc, USA
Mumbai, May 3 (UNI) Jain Irrigation Systems Ltd today announced the acquisition of Chapin Watermatics. Inc, New York, USA through its second generation wholly owned subsidiary, Jain (Americas) Inc, Ohio, USA.
Informing the BSE, the company said it has acquired 100 per cent shareholding control of Chapin Watermatics at about USD 6 million in cash and debt with deferred payment terms for part consideration.
The company will use FCCB funds for the acquisition.
Jain Irrigation is the only Company in the world that produces under one roof complete drip irrigation system including PVC and PE pipes, PVC and PE fittings, polytubes, emitting pipes and fittings, emitters, spray heads and jets, filtration and fertigation equipment, and green houses.
It also undertakes projects on turnkey basis for transformation of wasteland through watershed planning and development. Its multi-product and diversified skill profile enables it bid for global agricultural projects getting underway in developing countries.
Marketing subsidiaries of Jain Irrigation in USA, Europe and Africa and their warehousing facilities will provide additional marketing and logistic support to Chapin Watermatics.
The acquisition will significantly enhance the company's ability to participate in turnkey projects in developing world markets while providing a strategic brand fit in matured markets of USA and Europe.
Another important outcome will be the company's ability to be the only company in the world making complete product range suitable for all types of crops in various geographies for small as well as large farm holdings across the world. Irrigation markets worldwide are witnessing huge growth due to ever growing problem of water scarcity.
Jain Irrigation Managing Director Anil Jain said, ''after signing the deal in USA, the focused marketing efforts that Jain brings to the deal will complement the excellent products of Chapin and the acquisition will catapult Jain Irrigation and Chapin Watermatics to the forefront in growing global markets for Irrigation equipments.'' The company is a diversified one, with more than 3000 employees and sales in excess of USD 200 million with product portfolio encompassing irrigation products, piping systems, plastic sheets, dehydrated foods, fruit purees, pulp and juices and solar energy based thermal and photovoltaic systems in India and other world markets.
UNI SN PP SKB1943