Indian PV glass manufacturer Borosil Renewables and European counterpart Interfloat Corporation have signed an agreement under which the former will acquire 100% of the stake in the latter. Interfloat Corporation belongs to Interfloat Group, which is currently Europe’s largest PV glass manufacturer with a production capacity of 300 metric tons per day. The other main member of the group is GMB Glass Manufacktur Brandenburg. Borosil Renewables is part of Borosil Group that manufactures specialty glass products. Borosil is currently India’s only PV glass manufacturer. This story was first reported by other news outlets that cover renewable energy and industry news in late April.
With this deal, Borosil will be able to raise its production capacity by 66% to 750 metric tons per day. The company said that the deal will allow it to meet the demand from European customers more efficiently. Furthermore, the company will introduce its own technological solutions to Interfloat’s production facilities in order to achieve higher efficiency, greater economies of scale, and lower carbon emissions in their operation.
GMB, which is based in Germany, will be acquired for EUR 24.91 million in cash and an additional amount based on the target company’s performance. Intefloat, which is based in Lichtenstein, will be acquired for EUR 5.09 million in cash, EUR 22.5 million in stock, and an additional amount based on the target company’s performance. The consolidate net income of Interfloat Group for 2021 came to around EUR 60 million.
Borosil plans to set a higher environmental standard for GMB’s Tschernitz production plant and raise its production capacity to 500 metric tons per day. Looking ahead, Borosil aims to raise its production capacity in India to 1,000 metric tons per day by this September, then to 1,550 metric tons per day in 2023-2024, and finally to 2,100 metric tons per day in 2024-2025.
Commenting on this deal, Pradeep Kheruka, executive chairman of Borosil Renewables, said that the synergies and complementary capabilities of the two parties will lead to better services. Kheruka also noted that with new production capacity being added in India and Europe, its European customers can expect their supply chains to become even more reliable.
Interfloat said that raising production capacity will allow the company to supply more PV glass to European manufacturers for PV modules, especially as the pandemic and other factors are disrupting the supply chain for PV products. Christian Kern, chairman of Interfloat Corporation and former Chancellor of Austria, said that the rapidly rising price of natural gas is impacting many industries in Europe, so Borosil serves as a strong international partner that will ensure that the supply of clean energy will continue to flow during this difficult period. Borosil has asked Kern to remain as the chairman of Interfloat.
Borosil provides low-iron and textured glass that can be used in PV modules, flat-plate collectors, and greenhouses. It is banking on the growing domestic and foreign demand for large-size bifacial modules as well as favorable trade policies.