ENGINEERING company Weir Group expanded its presence in the Indian market with the purchase of BDK Engineering Industries yesterday.
BDK specialises in valve manufacturing for energy sectors, and is based in the southern state of Karnataka and generated £20.9m in the year to March, with gross assets of £16.7m.
The firm did not disclose the value of the deal. Weir, which may join the FTSE 100 in next week’s reshuffle, already owns two other Indian mining and power station facilities.
The firm announced a 58 per cent rise in pre-tax profit in the first half of the year to £144m.
The purchase of BDK brings 600 new employees into the Glasgow-based firm. The two other operations in India employ 350 people.
Keith Cochrane, chief executive of Weir Group, said: “This acquisition further strengthens our emerging market footprint.”
Cochrane added: “BDK’s range of valves will enhance our global customer offering and its Indian sales network will provide an additional route to market for many of our existing products.”
Commenting on the transaction, BDK’s founder Bharat Khimji said: “My family has developed BDK over the last 30 years into an internationally recognised valves manufacturer.
“We are pleased to entrust the growth of the business to an engineering group of Weir’s global standing. My sons and I look forward to continuing to play our roles in ensuring a smooth transition.”
Weir employs more than 9,000 people around the world, working across the mineral, oil and gas and power sectors.
Shares closed flat at £12.71.