Caparo Group acquires Steel Tubes of India

Caparo Engineering India, a subsidiary of Caparo Group founded by NRI industrialist Lord Swraj Paul, has acquired the assets of Steel Tubes of India, a Dewas-based company near Indore with an annual turnover of Rs 200 crore.Caparo plans to modernize and expand the operations at Dewas and increase the tube making capacity from 50,000 tonne to 100,000 tonne per annum, Angad Paul, CEO of Caparo Group, said.

The new business, located close to Caparo's stamping plant at Pithampur, would be known as Caparo Tubes India. Besides, Caparo has signed a joint venture agreement with Japan's Marubeni Itochu Steel Industries (MISI) to manufacture tailor welded blanks at a new Caparo factory in Bawal, Haryana.

Angad Paul who signed the agreement with Tsunekatsu Yonezawa, President of MISI in Tokyo recently said the new company would be known as Caparo MISI.

Tailor welded blanks are used in the manufacture of automotive body, door and roof panels. The factory would be the first of its kind in India and would be operational by July next year.

"The joint venture with MISI and the acquisition of STI demonstrates Caparo's ongoing commitment to use new technology in the development of new products and processes and in the modernization of traditional manufacturing industries," Angad Paul said.