Electrosteel acquires TIS Service, gains strength
India’s leading water infrastructure company and pipeline solutions provider, Electrosteel Castings Ltd is aggressively exploring growth opportunity. And, it has acquired TIS Service SpA, an Italian valve manufacturing company, which specialises in the production and sale of equipment for water networks and hydro-electric power plants. Electrosteel has acquired the entire equity of TIS Service for Rs150 crore, making it a wholly-owned subsidiary. The entire process, from agreement to closure, has been completed and integration planning is underway. The acquisition was concluded following extensive due diligence – legal, financial and operational. Khaitan & Co, a leading law firm, advised Electrosteel during the acquisition.
“The acquisition reflects our confidence in the strategic value and capabilities of TIS Service and our intent to fully integrate its strengths into the Electrosteel ecosystem,” affirms Sunil Katial, whole-time director & CEO, Electrosteel Castings. “TIS was selected after a thorough global evaluation, its technical leadership in valve engineering, presence in critical global markets and reputation for quality making it an ideal fit. We are actively evaluating localisation of selected TIS product lines in India, to serve regional markets more competitively”.
This move aligns with the company’s long-term vision to evolve from a leading pipe & fitting manufacturer to a comprehensive water infrastructure solution provider, with global reach and local relevance. Electrosteel will now be able to significantly enhance its ability of delivering integrated water infrastructure solutions by adding a robust valve portfolio to their existing pipeline systems as TIS brings decades of expertise in flow control, offering end-to-end solutions for water and wastewater.
TIS produces a wide range of high technology valves and fittings, such as butterfly valves, gate valves, air release valves, automatic control valves, plunger flow control valves and pressure reducing groups with electricity production. It offers a complete solution package – from individual equipment supplies to engineering consultations on the more complex problems of water systems.
“TIS Service needed a solid partner, which could make us grow but only while respecting our peculiarities, making the most of our know-how and people,” informs Eugenio Rota, CEO, TIS Service. “From the beginning of the process, this has been a priority for us to ensure employment. Of all the expressions of interest received, our choice fell on Electrosteel. The reasons that pushed me to choose it were the complementarity of the products, which is important for furthering the development of both systems; and the consolidated position of the group worldwide.”
Global player
Electrosteel aims to deepen its presence in Europe, the Middle East, the South East, West Asia and Latin America, while expanding into fluid management for irrigation, desalination and clean energy sectors through strategic partnerships. “Now we have become one of the global players capable of offering both ductile iron pipes & fittings and sophisticated valve technologies under one roof,” claims Madhav Kejriwal, whole-time director, Electrosteel Castings & president, TIS Service. “This strengthens our positioning in turnkey water infrastructure and wastewater infrastructure solution provision globally”.
The company will retain the strong equity of the TIS brand and co-brand it ‘TIS – an Electrosteel enterprise’. “TIS valves will now be made accessible through our distribution network in India, Africa and Southeast Asia, addressing growing demand for high-performance flow control solutions,” says Nityangi Kejriwal Jaiswal, whole-time director, Electrosteel Castings. “Customers will be able to access a broader product range from a single source – pipes, fittings and precision-engineered valves, resulting in greater convenience, better compatibility, integrated after-sales support, improved delivery timelines and competitive pricing.”
This was a strategic acquisition, financed through internal accruals. The management expects a meaningful increase in both top-line and bottom-line performance through increased volume of business. Electrosteel is the largest manufacturer of ductile iron (DI) pipes in the Indian sub-continent, having a production capacity of 850,000 tpa. It has recorded revenues of Rs7,420 crore in 2024-25. Its current share price is Rs110.50.
Electrosteel’s manufacturing strength and TIS’s engineering know-how will together improve delivery reliability and production responsiveness. TIS’ efficient flow-control systems reduce water loss and energy consumption. A joint R&D and innovation framework is being established to focus on smart valve technologies, energy-efficient solutions and customised products for high-growth markets.
Electrosteel achieves global recognition across five continents and over 130 countries spanning South East Asia, the Middle East, Europe, the US, South America and Africa. It has announced the setting up of a new DI pipe-manufacturing unit in Odisha, at an investment close to Rs3,000 crore. The land acquisition is under process. Through it all, Electrosteel has demonstrated its ability to move with the time and retained its significant position in the market.