French firm Rhodia today said it has completed the acquisition of the engineering plastics business of Rajasthan-based diversified firm PI Industries at an undisclosed amount.
"We received an enthusiastic feedback from both PI Industries and Rhodia's customers and suppliers regarding this strategic move," Rhodia Engineering Plastics President Francois Hincker said.
"All our international partners in the region as well as domestic Indian players are fully confident in our ability to accelerate their growth through a rapid expansion of our activity," Hincker said.
This acquisition is a major step in Rhodia Engineering Plastics' growth ambition in India, aiming at doubling its local production capacities to represent 15% of Indian polyamide compound market by 2015, he said.
Rhodia plans to triple the capacity of PI Industries to 18,000-tonnes per annum from present 6,000-tonnes per annum by 2015.
"India has a huge growth of potential in plastics and we want to tap the opportunity. We are confident to grow with PI Industries in India," Hincker said.
The BSE-listed PI Industries operates three business units, agri inputs (manufacturing and distribution of agro chemicals-pesticides, insecticides and herbicides), custom synthesis (custom synthesis in the areas of fine chemicals, agro chemicals and pharmaceutical intermediates) and PI Polymer (engineering plastics compounding for end-use in automotive, electricals and home appliances).