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Hind Glass to buy German firm's assets for Rs 321 cr

13 May 2011 Evaluate

Hindusthan National Glass & Industries Ltd (HNG) will acquire the assets of Agenda Glass AG in Germany from the insolvency administrator at a consideration of €50 million (approximately Rs 321 crore). This is HNG's first manufacturing venture abroad. the acquisition will be funded by a combination of debt and equity.

Located in Gardelegen in Germany, Agenda was founded in 2008. The company's 320-tonne plant for manufacturing green and white glass for food and beverages sector began commercial production in February 2010. It was during the same month that the company went into bankruptcy proceedings.

The Rs 1,360-crore, HNG controls 55 per cent of the Indian glass container market with a production capacity of 2,825 tonnes per day (tpd) from six facilities. The company has grown significantly in recent times, through acquisition of Owens Brockway (Rishikesh and Puducherry), L&T's Nashik plant and Neemrana unit of Haryana Sheet Glass. In addition, HNG is now setting up a Rs 700-crore glass manufacturing complex – dubbed as the largest in South East Asia – at Naidupeta in Andhra Pradesh.Overall, the group has earmarked a Rs 2,500-crore investment plan in both greenfield and brownfield projects to double the Indian capacities in three years.crackcrack

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