Reliance Industries to acquire assets of Kemrock Industries
Mumbai: Reliance Industries Ltd (RIL) on Wednesday said it would acquire the assets of Vadodara-based Kemrock Industries and Exports Ltd to enter the composites business. The acquisition will further strengthen RIL’s petrochemicals business portfolio while paving the way for its foray into new materials (composites and carbon fibre).
In a media statement, RIL said the company participated in an online e-bidding process held by Allahabad Bank, the leader of a consortium of 11 lenders, to dispose of the assets of Kemrock Industries. RIL emerged the winner in the bidding process.
“This participation is a part of Reliance’s efforts to enter the composites business and establish a leadership position in this large and growing market in India. Composites are used in a variety of applications and industries such as renewable energy, mass transportation, infrastructure and a host of other industrial products,” RIL said in the statement.
Carbon fibre is produced from polymers and used to make composites as strong as steel, which weigh less. They have a longer life and are used in a wide range of products including petroleum pipelines, fighter planes and missiles. RIL added that it was in the process of complying with the necessary formalities for the acquisition of assets.