Jain Irrigation to acquire Chapin Watermatics
Mumbai, May 3: Jain Irrigation Systems Ltd will acquire 100 per cent shares of Chapin Watermatics at approximately US Dollar 6 million through its wholly owned subsidiary Jain (Americas) Inc, using foreign currency convertible bond (FCCB) for acquisition.
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, a company release issued to BSE said.
The company would help economies facing water shortages with its whole range of irrigation products.
Company's Managing Director Anil Jain said, ''The focused marketing efforts that Jain brings to the deal will complement the products of Chapin and the acquisition will catapult Jain Irrigation and Chapin Watermatics to the forefront in growing global markets for Irrigation equipments.'' Chapin Watermatics produces under one roof complete drip irrigation system including PVC and PE pipes and fittings. 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 to bid for global agricultural projects getting underway in developing countries, the release added.
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 release said.
Jain Irrigation portfolio encompasses 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.