Punj Lloyd buys SembE&C, Singapore

Punj Lloyd has, through its wholly-owned subsidiary in Singapore, acquired a majority stake in SembCorp Engineers & Constructors (SembE&C), Singapore.

According to an official release issued by Punj Lloyd to the BSE today, SembCorp Engineers & Constructors is a wholly-owned subsidiary of SembCorp Industries, a leading utilities and marine group in Asia.

Punj Lloyd has acquired 88% stake in SembE&C at a consideration of Singapore Dollar 35.2 million The remaining 12% stake would be acquired by Punj Lloyd Singapore on or before December 31, 2007.

"This entity will contribute significantly to our top-line and will provide our access to new geographies and enhance our competitive positioning in existing markets, This acquisition will substantially enhance our capabilities to tap into complementary growth sectors like infrastructure and petrochemicals. We will also greatly benefit from the experienced and quality manpower as this acquisition will add a very large number of experienced and qualified engineers to our existing talent pool," Atul Punj, chairman & managing director, of Punj Lloyd, said.

This acquisition is in line with Punj Lloyd's strategic intent to expand its geographical reach and portfolio enhancement in complementary sectors. The company already has a formidable presence in South Asia, Middle East, Asia Pacific, Caspian and Africa. With this acquisition, the operations will expand to Europe, China besides Iran and other SE Asian market, by leveraging opportunities generated thereof, the release added.