Renold invests in India
25/06/2008Manchester-based engineering group Renold Plc is in talks to
acquire a 75 per cent interest in an Indian industrial chain
business.
In a statement to the stock exchange, Renold said it is in
negotiations to acquire the stake in LG Balakrishnan & Bros
(LGB), for an undisclosed sum.
The acquisition of LGB, the market leader for
the production and distribution of industrial chains in India, will
provide an established manufacturing base and sales distribution
network that will enable Renold to promote its existing product
range into India's rapidly growing market place as well as
exploit new product, market and export opportunities.
The remaining 25 per cent interest will be retained by LGB, a
public company listed on the stock exchanges in India.
The acquisition follows on from last year's successful
acquisition and integration of Renold Hangzhou in China, which the
company said continues to make good progress.
The company has also released its latest annual trading figures for
the year ended 31 March 2008. The figures showed a rise in sales of
eight per cent and an increasing in operating profits of 22 per
cent.
