Spanish firm Tubacex today said it has completed the acquisition of 68 per cent of the seamless stainless steel tubes division of the Prakash Steelage and maintained a purchase option on the remaining 32 per cent stake.

The Spanish firm in February has reached an agreement with the Mumbai-based firm to buy 68 per cent stake in the latter’s seamless stainless steel tube division for about Rs 250 crore.

“We have completed acquisition of 68 per cent of the seamless stainless steel tubes division of the Prakash Steelage. With this operation, announced in February, the Spanish company also maintains a purchase option on the remaining 32 per cent,” a statement issued here said.

Following the recent acquisitions, Tubacex has become the leading global manufacturer of seamless stainless steel tubes. This acquisition fits perfectly into the company’s Strategic Plan, which is currently in its growth phase in 2015 and 2016, the release said.

“Since we announced the acquisition last February, we have been working on an integration plan for Prakash within the Group’s structure, which has allowed us to expand our experience and market knowledge.

“We have also worked on an industrial plan that considers capital expenditure that will contribute to a significant increase of the quality of the Tubacex Prakash products, as well as growth of its portfolio,” Tubacex CEO Jesu00fas Esmoru00eds said.

Mumbai-based seamless stainless steel tubes division of Prakash Steelage, employees 250 people with a turnover of 25 million euros. Prakash’s integration in the group allows to strengthen Tubacex’s position within the Asian market and recover its market share in certain standard products. This operation strengthens the Group’s global presence in key markets, Esmoru00eds said.

The acquisition will also strengthens the presence of the Group in key markets such as oil & gas, power generation and petrochemical industries, among others.

In addition to reinforcing its presence in Asia, Tubacex extends its client portfolio in the North American, South-East Asian, African, Middle Eastern and European markets, Tubacex Asia director Ajay Sambrani said.

“The acquisition implies the establishment of a closer relationship with a key market in terms of growth, with an operational structure in this continent that allows us to offer more competitive products, while providing a more personalised service,” Sambrani said.

Tubacex is a multinational group with its headquarters in Alava and a global leader in the manufacture of stainless steel and high-alloyed seamless tubes. It has production plants in Spain, Austria, China, Italy, the United States and India with service centres in Brazil, France, and Houston, as well as subsidiaries and sales offices in fourteen countries.

Tubacex’s 52 per cent of sales currently are addressed to the Asian market, where the Spanish company has progressively increased its commercial and operational presence, committing to a growing market.