Maharashtra Seamless - D P Jindal Group completed acquisition of Seamless Plant in Romania

Maharashtra Seamless Ltd (MSL) has announced the following Press Release :

* Seamless Plant Acquisition Completed in Romania on Asset sale basis without any liability.

* Manufacturing Range upto 7" OD with an Annual Capacity of 200000 TPA.

* Plant will be relocated in India.

* The total project cost including complete modernisation is estimated to be in the range of INR 300 Crores.

"DP Jindal group is one of the leading and prominent business houses in India in Pipe business having a group turnover of INR 3000 Crores and Market capitalization of approx. INR 6000 crores. The group is well diversified into manufacturing of Seamless Pipes, ERW Pipes, Wind Power Generation, Offshore Oil & Gas Drilling and projects exports. The group is also having a Joint Venture with Tenaris, the largest manufacturer of Seamless Pipes in the world and also having a marketing collaboration with Noble Drilling, US, the second largest drilling company of the world, for Indian operations.

DP Jindal group, one of the largest producers of Seamless Pipes in India, has completed the acquisition of seamless plant in Romania having an installed capacity of 200000 TPA in its flagship company, Maharashtra Seamless Ltd (MSL). This plant has been acquired on Assets Sale basis without any Liability and it is having the capacity to manufacture Seamless Pipes upto 7" OD including Drill Pipes. The plant will be dismantled and relocated to India at a strategic location and will be operational in India in next 2 years. The total cost of the project including setting up of the infrastructure at a new location for the facility and complete modernisation is estimated to cost INR 300 Crores, which will be funded out of internal accruals only. The Plant Facility would also include the Drill Pipe capability, which is having a very strong demand in the current OCTG segment. MSL was planning to have this capability from quite sometimes and it would strengthen the company's efforts to enlargen its product & customer base in the coming time. It is likely to add to the substantial growth in the businesses of the Company."