Imerys to buy CK Birla co’s thermal insulation business

by / Monday, 09 March 2020 / Published in News & Updates

Mumbai: France-based Imerys Group, world leader in mineral-based specialities, has agreed to buy thermal insulation business from CK Birla Group-controlled Hyderabad IndustriesNSE -5.19 %.

Definitive agreements have been signed between Calderys India Refractories, Imerys’ wholly-owned Indian subsidiary, and Hyderabad Industries (HIL) on Thursday and a formal announcement is due as early as Friday.

The transaction will be part of HIL’s strategy to divest its non-core assets and focus on core building and infrastructure business.

The industrial thermal insulation business includes the manufacture, sales, marketing, distribution, and export of calcium silicate insulation products in the form of pipes, blocks or specific shapes, under the brand name ‘HYSIL’.

HYSIL is the market leader in India for manufacturing calcium silicate insulation products with a strong portfolio of products and distribution network. It has the largest manufacturing capacity for these products in India and Southeast Asia.

Centrum Capital was the exclusive financial advisor to HIL and Singhi Advisors acted as the exclusive strategic and financial advisors to Calderys India Refractories. With the acquisition of HYSIL, Calderys has extended its product offering to include insulation products.

When contacted, Calderys confirmed the development. “Calderys has signed an agreement today to acquire HYSIL business,” it said. HIL declined to comment. The deal is expected to close in three months, subject to relevant regulatory approvals and conditions.

HIL is the world’s largest manufacturer and seller of fibre cement roofing.