Sintex Industries, Ltd. Takes Majority Investment Interest in Wausaukee Composites, Inc.
June 4th, 2007
Leading Indian Plastics Company's Investment in North American Composites Leader Accelerates Global Composites Growth Strategies
WAUSAUKEE, WI – Wausaukee Composites, Inc. announced today that Sintex Industries, Ltd. of Kalol, India, has acquired a majority interest in the company.
Commenting on the strategic combination, David Lisle, President and CEO of Wausaukee Composites, said, "Wausaukee Composites has already achieved a global presence with its product distribution to Global Fortune 500 companies, as we estimate that roughly one-fourth of our manufactured product ultimately lands on foreign shores. The strategic combination between Sintex Industries and Wausaukee Composites immediately establishes the joined enterprise as a formidable player in the global composites business. Sintex provides cost-competitive manufacturing capacity in the high-volume production of structural composites components, and further contributes significant new industrial plastics product lines to our established sales and distribution channels with our global Original Equipment Manufacturer (OEM) customers."
Sintex is an established global leader in the plastics and textiles business segments, with operations throughout India, and now the United States. Sintex' plastics manufacturing capabilities include open molded composites, compression sheet molded composites (SMC), bulk molded composites (BMC), rotational molding, PVC extrusion, blow molding, and thermoforming.
Highlighting the strategic imperative in the acquisition, Amit Patel, Managing Director, Sintex Industries said, "Sintex, through this acquisition, will enter the world's largest composite market -- the United States -- and will also get immediate access to a number of Fortune 500 companies catered by Wausaukee. Sintex happens to be the first company from India to acquire a company in the North American composite plastic business. Post this acquisition, Sintex will introduce hi-tech composite products in its electrical and automotive plastic segments as part of its custom moulding business." Regarding the potential impact on Wausaukee Composites' domestic growth agenda, David Lisle further elaborated, "This strategic combination will not curtail the growth of our composites manufacturing business in North America. In fact, we are continuing to pursue the expansion of our manufacturing capacity in North America at this time, in order to meet increased customer demand in our lower volume, highly-engineered, custom molded product segments."
The strategic combination will directly help both Sintex and WCI to expand their product portfolio, develop new products and further penetrate the US and Indian markets, respectively. Sintex provides clear cost advantages through offshoring, in addition to the huge domestic demand that India offers for Wausaukee Composite's superior technology, while WCI has tremendous market reach and elite customers.
About Sintex Industries, Ltd.
Sintex Industries is a leading manufacturer and distributor of structural plastics and textiles, headquartered in Kalol, India. Sintex' Plastic Division is a leader in its range of proprietary and OEM plastic products, including Structural Plastics, Electrical Accessories, Water Storage Tanks, and Prefabricated Structures. Core plastics manfacturing processes include open molded composites, compression sheet molded composites (SMC), bulk molded composites (BMC), rotational molding, PVC extrusion, blow molding, and thermoforming. Sintex achieved net sales of USD $275 Million in FY 2007. Sintex is a public corporation which trades on the Bombay stock exchange, and has a market capitalization in excess of USD $620 Million.
About Wausaukee Composites
Wausaukee Composites is a leading manufacturer of highly engineered composite plastic and fiberglass components for Original Equipment Manufacturer (OEM) customers in the Industrial Truck and Tractor, Mass Transit, Wind Energy, Medical Imaging, Commercial Furnishings, Therapeutic Systems, Recreation, and Corrosion-Resistant Materials Handling industries, worldwide. Core processes include Open Molding, Light Resin Transfer Molding (LRTM), Vacuum Infusion Molding, Resin Transfer Molding (RTM), Vacuum Assisted Resin Transfer Molding (VARTM), Sheet Molding Compound (SMC), Liquid Composite Molding (LCM), and Reaction Injection Molding (RIM) of composite components. The ISO 9001:2008 certified company offers full service design, tooling, prototype development, product manufacture, and value-added secondary assembly services.
Wausaukee Composites operates four manufacturing facilities in Wisconsin and Michigan, where it provides manufacturing jobs for more than 400 employees. Wausaukee Composites is a subsidiary of Sintex Industries, Ltd., a multi-national manufacturer and distributor of structural plastics and textiles, with manufacturing operations located in North America, Europe, and India.
Contact
David A. Lisle, President & CEO
Wausaukee Composites, Inc.
(715) 856-6321
