Welspun Corp Limited part of Welspun Group through its subsidiary Sintex-BAPL Limited has acquired 100% of the equity shares and non-cumulative redeemable preference shares of ‘Weetek Plastics Private Limited’ for an enterprise value of Rs 85 crores, the company said on Monday.
With this acquisition, Weetek will become a wholly owned step-down subsidiary of Welspun Corp, further expanding its footprint in India’s plastics manufacturing sector.
Weetek Plastics operates a state-of-the-art facility in Raipur, Chhattisgarh, with an annual production capacity of 19000 metric tons and Sintex will investing to enhance the capacity and capability of this plant. The facility specializes in a wide range of products, including pipes and fittings, and water storage solutions. Welspun Corp will further enhance the facility’s capability through a fresh round of investments to tap into new regional markets with immediate effect.
This acquisition is in line with Welspun’s strategy to accelerate its market presence and scale up production ahead of its planned expansion of four additional plastic pipe manufacturing plants, to be located in Madhya Pradesh, Telangana, Odisha, and Jammu & Kashmir, the company said.
Acquisition of Weetek Plastics’ with its advanced infrastructure provides a competitive edge to Sintex, enabling faster penetration into key markets such as Jharkhand, Bihar, Odisha, and West Bengal. The acquisition offers Welspun a ready platform to expand its product offerings and boost its capacity in India’s growing plumbing and water management sectors.
BK Goenka, Chairman, Welspun World, said: “The acquisition of Weetek Plastics aligns with our vision to become a leader in the building materials industry.”
He added that this state-of-the-art facility will help us enhance Welspun’s market presence and deliver superior products to customers across the country. “It offers us a unique opportunity in accelerating our growth strategy on PVC pipes and fittings and fast-tracking our entry into new markets with an already operational facility.”
