Chemplast acquires PVC pipes businesses

Chennai, Sep 7 (UNI) In pursuit of its forward integration strategy, Chemplast Sanmar Limited, the flagship company of the Sanmar Group, has acquired the PVC pipes businesses of Polytrusions Private Limited and Vinplex Private Limited.

The manufacturing facilities of these two firms, located near Chennai, have the capacity to produce around 25,000 tonne per annum of a wide variety of pipes like pressure pipes, casing and screen pipes, SWR pipes, plumbing pipes and conduits.

The products of polytrusion and vinplex are well-known in the market for high quality under the brand name 'Truebore'.

A senior Chemplast Sanmar official told UNI today the agreement formally acquiring the companies was signed yesterday.

Chemplast was a pioneer in the PVC pipes business, and was among the first to introduce them in India way back in the 1960's. It exited this business in the mid-80's for strategic reasons.

However, with this acquisition, and subsequent investments, the company planned to establish itself as one of the major manufacturers in the next few years, the official said.

The Rs 650 crore Chemplast Sanmar Limited, is setting up a green field PVC project to produce 170,000 tonne per annum Suspension PVC.

Besides, the company was implementing several projects at its manufacturing complexes at Mettur Dam and Karaikal, to enhance top line and rationalize costs. To maintain its reputation as a socially and environmentally conscious corporate citizen, Chemplast was continuously making large investments in environment protection measures, and was working towards implementing zero discharge status at all its facilities.

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