Emerson Process Management to up operations

Emerson Process Management (India) Pvt Ltd, a part of the US-based manufacturing and technology firm Emerson, is planning to double its staff strength and capacity of its recently-acquired Chennai plant in the next three to five years. Today it announced completion of the integration of Fisher Sanmar Ltd, which it acquired in April, 2011, into the company.

Announcing the completion of integration of Fisher Sanmar Ltd in which the company has a stake through its subsidiary Fisher Ltd, Emerson Process Management (India) managing director Sunil Khanna said, “We will double our staff strength in India from the present 2,500 in the next three to five years.”

 

With completion of the acquisition, Fisher Sanmar Ltd, a joint venture between Fisher Ltd and Chennai-based Sanmar Ltd, is named as Emerson Process Management Chennai Ltd. Its Chennai plant presently has a capacity to manufacture 12,000 valves per annum.

The capacity would be increased to 25,000 valves per annum in the next three to five years with an investment of $4-5 million, said B Vankataramani, executive director, Emerson Process Management Chennai Ltd. It would also have facility to manufacture rotary valve and high-end engineered products with the expansion.

The buyout of Fisher Sanmar was the last of its series of acquisitions to integrate all its joint ventures in India with the company, said Sabee Mitra, president, Emerson Process Management Asia Pacific Pvt Ltd.

“In the last three years, we have invested around $700 million in five to seven acquisitions in India as part of our strategy to bring the Indian operations under one group,” he added. However, he refused to divulge the investment in acquiring Fisher Sanmar Ltd.

The company, which set up a facility in Navi Mumbai last year, would look at further expansion of plants and setting up of more service centers in India in future. It is expecting to ride on a 12 per cent growth of the core industries comprising power, oil and gas and metals sectors in India.

Emerson Process Management has reported a business of $6 billion in 2010, out of which $200 million was from India. The company is growing at a rate of 16-17 per cent at present and expect to continue the growth momentum, said Mitra.