Trendsetting Buyout For Group: Kumar Mangalam
Excerpts from the interview:
On the groups recast: We plan to exit industries where we are not dominant or can not add value for shareholders. In the next five years, you could see us getting out of some industries. We should be the no. 1 or no. 2 player. If we cant be that, we plan to exit.
On acquisitions: As an organisation, so far we have grown organically. We would look at acquisitions more but everything would depend upon the right price and opportunity. We would do it more in the industries where we are operating than where we are not. Unrelated acquisitions are unlikely.
On the buy-out: This indicates a trend. It gives us an opportunity to consolidate our viscose fibre business. We are the number one in the world and we want to improve on it by this acquisition. It would increase our captive consumption of raw material and is cheaper than putting up a greenfield plant.