As part of its international expansion plan, voestalpine Bohler Welding of Austria has acquired Delhi-based Maruti Weld Pvt. Ltd, a leading company in the welding consumables segment. In 2012, the Indian company generated annual revenue of €6.7 million (around `56.20 crore).
voestalpine Bohler Welding, a part of the Metal Engineering Division of voestalpine Group, aims to grow and develop into a one-stop provider in the welding consumables market. The company has set its sights on India as the domestic welding consumables industry is pegged at €400 million, growing at the rate of 9 per cent and catering to the country’s oil and gas, pipeline, chemical, power generation, transportation and automotive, brazing industries and various other sectors.
Specifically, voestalpine Böhler Welding has taken over Maruti Weld Pvt. Ltd because it specialises in welding electrodes with an annual capacity of 20,000 tons of high-quality electrodes and flux cored wires, and is among the top 10 companies on the Indian welding technology market. The welding electrodes as manufactured at its plant in Bhiwadi, Rajasthan. The acquisition provides voestalpine a production portfolio of 75-plus grades ranging from mild steel, low-hydrogen steel, stainless steel and hard-facing welding consumables.
Gunter Neureiter, Global CEO, voestalpine Böhler Welding, said, “With significant revenues coming from outside Europe it was only natural for us to tap the high growth Indian market with presence in local production. This will help us provide a competitive product portfolio. voestalpine Bohler Welding is targeting to garner a market share of 10 per cent with a specific focus on the energy segment in India. This production facility also provides us a strong base to address demand in the fast growing markets of Middle East and Africa.”
“In accordance with our long-term growth strategy, with this acquisition and its local production operations we are accelerating the penetration of the Indian growth market; our focus will be on the energy segment,” said Franz Kainersdorfer, Management Board member of voestalpine AG and head of the Metal Engineering Division.
“It is absolutely necessary for us to have a local production presence in order to have a competitive product portfolio and to be able to develop as a one-stop provider on the welding consumables market,” Kainersdorfer added.