Key Points of Welspun Acquires Sintex-BAPL for Rs.1251 Cr:
- Welspun Group has acquired Sintex-BAPL for INR 1,251 crore.
- The National Company Law Tribunal in Ahmedabad approved the resolution plan for the acquisition on March 17th.
- Welspun Corporation Propel Plastic Products and Plastauto executed the deal, with both Welspun companies set to merge into Sintex-BAPL.
- Sintex-BAPL’s auto business was hived off to Plastauto for INR 110 crore.
- Sintex-BAPL is part of Sintex group, a conglomerate with businesses across plastics, textiles, power, and infrastructure.
- The acquisition will strengthen Welspun’s consumer connection and on-ground presence, said Balkrishan Goenka, the company’s chairman.
- Welspun will expand its building material portfolio, which is a significant part of the larger B2C strategy, with the acquisition of Sintex.
Details of Welspun Acquires Sintex-BAPL for Rs.1251 Cr:
Indian conglomerate Welspun Group has announced its acquisition of water tank and plastic product maker Sintex-BAPL for INR 1,251 crore. The National Company Law Tribunal in Ahmedabad approved the resolution plan for the acquisition on March 17th. Welspun Corporation Propel Plastic Products and Plastauto executed the deal, with both Welspun companies set to merge into Sintex-BAPL.
The reconstituted board of directors also hived off Sintex-BAPL’s auto business to Plastauto for INR 110 crore and executed a business transfer agreement. Sintex-BAPL is part of Sintex group, a conglomerate with businesses across plastics, textiles, power, and infrastructure.
The acquisition is expected to strengthen Welspun’s consumer connection and on-ground presence, said Balkrishan Goenka, the company’s chairman. Sintex-BAPL is a significant player in the water tank market, with a strong brand connection and consumer foothold. Its consolidated turnover for the year ending March 31, 2022, was INR 934 crore.
Welspun Corp has already purchased Sintex-BAPL’s non-convertible debentures with an outstanding amount of INR 1,231 crore for INR 421 crore through its subsidiary, Mahatva Plastic Products and Building Materials.
The acquisition will allow Welspun to expand its building material portfolio, which is a significant part of the larger B2C strategy. The company has forayed into sectors such as warehousing, flooring, and advanced textiles to create strong emerging businesses with the acquisition of Sintex.
About Welspun:
Headquartered in Mumbai, the Welspun Group is a multinational conglomerate with diversified interests in steel, textiles, infrastructure, and line pipes. The company operates in 50 countries and has a distribution network in 32 countries, including the United States, Canada, the United Kingdom, and Australia.
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