CUMI to acquire US firm for ₹56 cr. to expand its base

CUMI Managing Director Sridharan Rangarajan says that acquisition of SCP aligns with their strategic growth plans.

Carborundum Common Ltd. (CUMI) has entered right into a pact with the prevailing fairness shareholders of Silicon Carbide Merchandise, Inc. USA (SCP) to completely purchase it at an enterprise worth of ₹56 crore.

CUMI will incorporate a completely owned subsidiary in USA, which can act because the particular goal automobile for this acquisition. The transaction is anticipated to be accomplished by October 31, the Murugappa group agency mentioned in a press release.

Positioned in Horseheads, New York, SCP specialises in producing high-quality Nitride Bonded Silicon Carbide (NBSiC) merchandise which have superior put on and thermal shock resistance.

SCP product caters to the wants of energy technology, mining, materials dealing with/processing, non-ferrous molten steel switch and petrochemical refineries.

“Acquisition of SCP aligns with CUMI’s strategic growth plans. SCP concluded 2023 with gross sales of $4.2 million,” mentioned CUMI Managing Director Sridharan Rangarajan.

CUMI would leverage SCP’s superior nitriding furnace design, patterning and tooling capabilities to deal with the Indian marketplace for important thermal purposes majorly in energy, metal and mining sectors.

CUMI would faucet into SCP’s in depth buyer community in Americas to market its merchandise to industries similar to glass, tremendous alloys, petrochemicals, non-ferrous and warmth remedy.