HIL signs an agreement with Crestia Polytech to acquire PVC pipe maker Topline, four wholly-owned subsidiaries of Cresta – Topline Industries, Aditya Polytechnic, Aditya Industries and Sainath Polymers.
Mar 15, 2024
HIL Limited, a flagship company of CK Birla Group, has acquired Topline, a well-known brand of polyvinyl chloride (PVC) pipes and fitting in East India, along with four companies associated with the brand for INR 265 crore.
As per a stock exchange filing by HIL Limited, it has finalized an agreement with Crestia Polytech for the acquisition of Topline, alongside Crestia’s four wholly-owned subsidiaries: Topline Industries, Aditya Polytechnic, Aditya Industries, and Sainath Polymers, for a total of INR 265 crore.
Crestia and its subsidiaries, boasting an estimated turnover of INR 330 crore in FY 24, are key players in the pipes, fittings and water tank sector, featuring three flagship brands – Topline, Rockwell, and Soniplast.
The strategic acquisition represents a significant move for HIL, underscoring its commitment to further bolster its rapidly growing pipes and fittings business within the estimated INR 55,000 crore Indian PVC pipes and fittings market.
With a complementary portfolio of products, technologies and market presence, the acquisition is poised to substantially enhance HIL’s production capacity and nearly double its revenue.
President (Strategy), HIL Limited, Ms. Avanti Birla said the agreement to acquire Topline perfectly aligned with their ambition and was part of their growth strategy for the pipes and fittings business at HIL. The combined synergies of the two organisations would broaden the product portfolio, manufacturing capacity and market reach for HIL Limited, which aimed at expanding five times its current size in this category by 2026.
She said the acquisition offered immense growth potential. It not only doubles the revenue of HIL, but also immediately enhances their production capacity three-fold, especially in the strategically important Eastern region. It also gave them access to Topline’s significant channel presence across 15 states, with the East being a stronghold.
Significant government and private investments expected across infrastructure, construction, real estate and agriculture sectors ensured a place for HIL in a fast-paced transformation journey. The company is committed to delivering exceptional products and services to its customers, she added.
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Mr. Akshat Seth, Managing Director and CEO of HIL said the unique capabilities of Topline perfectly complemented HIL’s portfolio and opened new product segments and markets for them.
The acquisition would enable HIL’s entry into large segments such as high-density polyethylene (HDPE), medium density polyethylene (MDPE) and water tanks. It would nearly double the SKU offerings of HIL. Access to patented technologies in electrofusion fittings and water tanks would position the company among the top tier players. This would also enhance HIL’s presence in significant government projects and secure the JJM (Jal Jeevan Mission) approval across 12 states. HIL would now be able to serve customers in sectors such as agriculture, telecom and natural gas.
Mr. Seth congratulated the founders of Topline – Pawan Kumar Palriwal and Dushyant Palriwal for building a strong brand, an innovative portfolio of products and a state-of-the-art manufacturing facility. HIL would continue to draw upon their strong research, technology and market expertise to take the brand to even greater heights, he added.
