Tomkins in talks to buy Goenka's Schrader Duncan stake

The foreign JV partner in Schrader Duncan, a leading manufacturer of tyre tube valves and accessories, is in talks to buy out the minority stake held by its Indian promoter, Delhi-based industrialist J P Goenka, a source said.

"Schrader Bridgeport International Inc, USA, which is the majority partner in the JV -- Schrader Duncan -- is in talks with J P Goenka to buy his 24 per cent stake in the company," a source close to the development told PTI here.

"But the discussions on valuation are still going on," he said.

Schrader Bridgeport International Inc, which is a part of global engineering and manufacturing group Tomkins PLC, UK, has a 51 per cent stake in Schrader Duncan.

 

In order to increase its footprint in India, Tomkins PLC, the parent company, is likely to merge Schrader Bridgeport International's Indian business with another subsidiary, Gates India, which is an industrial hose manufacturer, the source said.

Gates India has big manufacturing facility at Lalru, near Chandigarh, which is spread over an area of 35 acres. Gates India is a wholly-owned subsidiary of Gates Corporation, USA, which is a wholly-owned subsidiary of Tomkins PLC.

Schrader Duncan has its pneumatic division in Mhape, Navi Mumbai, and an automotive division in Ranjangaon. The company has attractive real estate assets spanning more than 4.5 acres in Mulund, Mumbai.

Despite several attempts, J P Goenka could not be contacted. E-mail queries sent to Tomkin, Gates and Schrader Bridgeport International did not elicit any response.

Tomkins Plc is listed on the London Stock Exchange and the New York Stock Exchange. It manufactures a variety of products for industrial, automotive and building products markets across North America, Europe, Asia and the rest of the world, with sales of over $4 billion annually.