Bond it forms joint venture with Indian piping giant
Published: 27 August, 2014
Bond It has entered into a joint venture agreement with one of India’s fastest growing manufacturers of pipes and piping systems, Astral Poly Technik.
Listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange of India (NSE), Astral Poly Technik is a £450m business which manufactures a broad product portfolio.
Its range of chlorinated polyvinyl chloride (CPVC) and polyvinyl chloride (PVC) piping is employed across a wide range of markets and applications, including water supply, industrial use, gas/solar applications and agricultural piping systems.
It was the first company in India to introduce CPVC pipes and fittings, lead free PVC piping systems and foam core piping systems. It also holds international accreditations such as National Sanitation Foundation (NSF) certification.
Bond It plans to use the joint venture to continue its plans for expansion. The company's existing senior management team retains its equity share in the business and remains in place.
Speaking of the new joint venture, David Moore, managing director at Bond It, said: "The deal with Astral Poly Technik comes after extensive negotiation and represents a win-win situation for everyone involved.
"By enjoying access to Bond It's range, which includes plumbing solutions, our partners at Astral Poly Technik are able to complement their well-respected pipes and piping systems with a variety of related and equally high quality products.
"This will enable them to maximise some of the impressive opportunities offered by the Indian economy - one of the fastest growing in the world.
"For Bond It meanwhile, the additional backing will enable us to accelerate ambitious and global plans for the future, and to offer our growing customer base more products in more volumes than ever before.
"We will also be able to make further investments into those areas which make a real difference to customers - such as logistics, product development and sales support.”
Sandeep Engineer, CEO of Astral Poly Technik, added: "The equity deal with Bond It represents Astral Poly Technik’s second joint venture outside of India.
“We saw the company as an attractive investment opportunity after encountering its Indian operations and experiencing the quality of its products. We also recognise that the market for these products in India and in neighbouring countries is huge and continuing to grow.”