Sintex Subsidiary Gets Private Equity Infusion of Rs. 1,250-crore

Plastic and textiles player, Sintex Group, has announced that one of its arms Sintex Plastics Technology Pvt. Ltd. has received capital commitment of up to Rs. 1,250-crore via structured finance from leading private equity (PE) fund, KKR India, and its affiliates.

The latest funding commitment, seen as one of the largest in the manufacturing sector in the recent times, will fuel the company’s growth plans as it continues to rapidly shift business model towards B2C or retail segment, a company statement said. The announcement comes at a time when most investors are flocking to the IT and technology enterprises for funding.

The proceeds shall be utilised to refinance the existing debt and fund the company’s growth in the B2C business, further capitalising on the ‘Sintex’ brand for high-margin value-added product categories in the retail plastics division as well as high-end auto and defence plastics product category, it said. Additionally, the funds will be deployed to improve cash flows and augment brand-building activities.

Mr. Amit Patel, Group Managing Director, Sintex Group, said, “KKR infusion is a measure of confidence in our group. I believe the partnership with KKR will go a long way in nourishing our retail business and custom moulding business globally.”