Shree Ganesh Forgings acquires 2 European companies

Mumbai, Apr 16 (UNI) Shree Ganesh Forgings Ltd (SGFL) through its 100 per cent Netherlands subsidiary has acquired a cent per cent stake in two European companies - Hertecant N V, a manufacturing concern located in Belgium and ELFE, a distribution company located in France.

These companies are part of the Euro seven billion Finish conglomerate Outo Kumpu, a release issued here today said.

The two companies were acquired for a total consideration of Euro four million (Rs 23 cr).

Hertecant and Elfe, are projected to grow their top lines by approximately 30 per cent for the period January one to December 31, this year.

The companies are presently in the process of scaling up their operations by adding new machines at Hertecant and by adding sizeable stocks.

These additions will help the two companies in increasing their respective turnovers by 60 per cent and 75 per cent, respectively, from current levels, which are Euro 12 million and three million approximately.

SGFL expects the above acquisitions to add approximately 110 to 120 cr to its top line for the year 07-08. Shree Ganesh Forgings is a manufacturer and exporter of flanges and fittings catering to the oil and gas, petrochemicals and chemicals industry with exports to USA, Canada, Europe and the Middle East, the release added.

UNI