Turkish Glass maker - Trakya Cam Snayii AS ― has bought 45% stake in Somany family promoted HNG Float Glass (HNGFL) through a joint venture agreement today.
According to the JV, Hindustan National Glass and Industries (HNGIL) and promoter of HNGIL i.e. Somany family which promoted HNG Float glass will dilute its stake and will become equal share holder at 45%.
Currently, HNGIL and Somany Family holds around 47.4% and 40.2% stake and remaining 12% is held by IFC Washington. Post JV, Shareholding Company and the promoter of HNGFL will reduce from approx.87.6% to 45% and Trakya Cam Snayii AS. will become an equal shareholder by about 45% stake in HNGFL, for an undisclosed amount.
IFC Washington will continue to hold 10% stake (about 10% of the increased paid up capital).
The share holding of HNGIL will stand diluted from present 47.4% to 15% stake in HNGFL. When contacted, HNGIL chairman C K Somany refused to comment on the value that was paid by the Turkish glass maker for this JV.
HNGIL is one of the leading glass manufacturer with a total production capacity of 4300 tonnes per day, had promoted HNGFL in 2006.
Trakya Cam Sanayii A.Ş., which was founded by Şişecam in 1978, is the leading company of the flat glass market in Turkey and the pioneer in the region. The company has reached the level of $751 million net sales with its 2.768 employees in FY 2011. In the past, Trakya Cam Sanayii A S had taken a strategic step in 2009, with the decision to jointly develop its flat glass activities with Saint-Gobain, which is one of the biggest companies of the industry, in Egypt and Russia.
HNGFL is engaged in the business of manufacturing float glass and related value added float glass products.
The company’s plant is located in Halol, Gujarat with current capacity of furnace is 600 tonnes per day.
