Eliokem acquires Polymer Division from Apar Industries Ltd.

06-Nov-2007

Eliokem, a global specialty chemicals company and polymers producer, majority-owned by AXA Private Equity, has signed a purchase agreement with Apar Industries to acquire its Polymer Division, for an amount of INR 1.1 bn (US$ 27.5m) subject to regulatory approvals.

According to the company, Apar's Polymer Division is the sole Indian manufacturer of specialty polymers with strong leadership positions in India. Its products are offering resistance to abrasion, tear, air, oil and fuel ageing with end-applications mainly in automotive & industrial, rice rolls and footwear. Over the recent years, Apar Industries invested a lot in the Polymer Division by expanding the capacity, improving efficiency and consolidating the entire polymer business on a single production site at Valia (Gujarat). For the fiscal year ending March 2007, the Polymer Division achieved revenues of INR 1,4 billion (around $ 34 million) and is expecting above 30% growth by the end of March 2008, following restructuring of operations and strong market growth.

This acquisition of Apar's Polymer Division fits perfectly with Eliokem's expansion strategy implemented since AXA Private Equity acquired a majority stake in the company in October 2006. It is responding to Eliokem's increasing development in polymer business where it holds worldwide leadership position and will notably complement the company's offerings in nitrile rubber and high styrene reinforcing resins to the rubber industry. The operation is considered as well-timed when major industrial and financial players expect India to become a global manufacturing hub within the next few years.

https://www.chemeurope.com/en/news/73625/eliokem-acquires-polymer-division-from-apar-industries-ltd.html