Sintex Industries, a well known Indian brand for water tanks is seriously considering a diversification route into plastics composites in India and abroad. The Ahmedabad-based tank maker has expressed interest to acquire Continental Structural Plastics, a global leader in the plastic automotive parts segment based in the US. The rising demand for composites plastics in aviation, automobile and defence sectors will lead the current US$6 bln plastic composite market to significantly mount to US$40 bln in the coming three years.
The deal, if closed will be in a range of US$70-80 mln. Sintex's consideration to acquire Continental Structural Plastics comes after buying 81% stake in another US-based company Wausaukee Composites, for US$20.5 mln. This indicates Sintex's aggressive acquisition spree in order to emphasize itself in the plastic auto component segment.