The Hindu : Business : Caparo subsidiary acquires assets of Steel Tubes

Online edition of India's National Newspaper
Thursday, Aug 24, 2006

Business

Business

Caparo subsidiary acquires assets of Steel Tubes

Dewas plant to be modernised and expanded

LONDON: Caparo Engineering India Private Limited, a subsidiary of the Caparo Group founded by NRI industrialist Lord Swraj Paul, has acquired the assets of Steel Tubes of India Limited, a Dewas-based company near Indore in Madhya Pradesh in India with an annual turnover of Rs. 200 crore.

Announcing this here on Wednesday, Angad Paul, Chief Executive of the Caparo group, said his company planned to modernise and expand the operations at Dewas and would significantly increase the tube making capacity from 50,000 tonnes to one lakh tonnes annually.

The new business, located close to Caparo's stamping plant at Pithampur, will be known as Caparo Tubes India.

Besides, Caparo has signed a joint venture agreement with Japan's Marubeni Itochu Steel Industries (MISI) to manufacture tailor welded blanks at a new Caparo factory in Bawal in Haryana. Mr. Angad Paul, who signed the agreement with Tsunekatsu Yonezawa, President of MISI, in Tokyo recently, said the new company would be known as Caparo MISI.

The factory would be the first of its kind in India and would be operational by July next year.

"The joint venture with MISI and the acquisition of STI demonstrates Caparo's ongoing commitment to use new technology in the development of new products and processes and in the modernization of traditional manufacturing industries,'' Mr. Angad Paul said. — PTI

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