An agreement has been signed with the existing shareholders of Serviplem to acquire their 79 per cent stake in the company, TELCON said in a press release issued here.
The existing owners will continue to be associated with the venture and own the remaining 21 per cent, the release said.
This acquisition is of "great strategic importance" and will add impetus to TELCON's plan to become a 2-billion-dollar entity by 2012, Telcon's MD Ranaveer Sinha said.
"Serviplem focuses on manufacturing and sale of transit mixers, dry bulk tanks and pumps. The technology will help TELCON to enter the concrete value chain with a number of offerings," Sinha said.
TELCON will also get the opportunity to become a strong player in the Chinese market as Serviplem has a presence in that country through a joint venture.
"With this acquisition, TELCON can drive growth in two important growth economies--India and China," Sinha said, adding that Serviplem and TELCON would work together to identify opportunities and leverage their presence in the global market."
The Tata group will also get a "significant presence" in the Aragon region in Spain as it is already present in the region through its partnership with Hispano Carrocera SA, a bus-building company, the release said.
Sinha said that Telcon's growth plans were in line with expectations. The company was constantly on the lookout for strengthening its product portfolio through technology transfers, partnerships and other acquisitions, he said.