Hampiðjan has signed a deal to acquire a 75.1% stake in one of its key suppliers, Indian rope and netting manufacturer Kohinoor Ropes Pvt.
With a workforce of 700 across two rope and net production sites in Selu and a net loft in Jalna, plus offices in Aurangabad, Kohinoor Ropes is one of India’s largest producers of ropes and nets. Hampiðjan is a major buyer of Kohinoor’s twisted ropes, and last year was the company’s largest customer.
‘The acquisition of a majority stake in Kohinoor will enhance Hampiðjan’s competitiveness through operational efficiencies. We are excited to work with this new subsidiary in the future and have high expectations for this partnership in the coming years,’ said Hampiðjan CEO Hjörtur Erlendsson.
Collaboration has been growing rapidly in aquaculture-related products, particularly in the production of fish farming cages.
For Hampiðjan, this acquisition presents significant opportunities for both operational efficiencies and expansion into new markets that had previously been less accessible due to geographical distance from Europe and production costs.
Kohinoor has achieved remarkable success in Chile, the world’s second largest salmon-producing country after Norway, and the acquisition will facilitate greater access to aquaculture markets in the Middle East, where Hampiðjan subsidiary Mørenot Aquaculture has been involved in large projects in recent years. There are also opportunities in Asia and Oceania, where Hampiðjan operates through its subsidiaries in New Zealand and Australia.
Hampiðjan’s global presence is expected to open new sales channels for Kohinoor’s products and enhance the product range offered by Hampiðjan’s subsidiaries.
The company’s overall value chain, ranging from from plastic granules to trawl gear and aquaculture cages, will be further strengthened by this acquisition, as currently a third of the ropes used by the Hampiðjan Group are sourced from Kohinoor.
‘Kohinoor’s product offerings will expand the range of products available through Hampiðjan’s companies worldwide while simultaneously providing Kohinoor with greater access to the markets in which we already operate,’ Hjörtur Erlendsson said.
‘This new position will allow us to enter new and emerging markets. Exciting times are ahead for the Hampiðjan Group.’
