Tigre, Amanco and Corr invest US$ 250 million in pipes and fittings
Valor Econômico
The industries of pipes and fittings plan heavy investments in the country this year in order to meet the strong growth of the sectors of civil construction, sanitation and infrastructure. Valor heard the three main companies of such segment - Tigre, Amanco and Corr Plastik -, respectively, that, together, are planning on making investments of half a billion Reais to raise the productive capacity, either with acquisitions, increase of installed capacity, or with the construction of new plants.
The time for such investments has never been so favorable. In the middle of an election year, the infrastructure works promise to speed up and recover 2009 beyond the expectations. At the same time, the real estate boom, both for high income undertakings and, especially, for the "My Home, My Life" ("Minha casa, minha vida") Governmental program should also fatten up the earnings of these companies. More on the long-term, they are already beginning to get ready for the growth potential generated by the 2014 FIFA Soccer World CupTM in Brazil and even by the 2016 Summer Olympics. "The area of infrastructure should have very strong growth from now on", says Marise Barroso, President of Amanco Brasil.
The leader, Tigre, plans to invest R$ 200 million (US$ 111 million) this year, an increase of more than 30% compared to the R$ 150 million (US$ 76 million) in 2009. The rival, Amanco, acquired by the Mexichem group in 2007, will invest another R$ 200 million (US$ 111 million) in Brazilian operation, nearly twice as much the R$ 111 million (US$ 56.4 million) of 2009. "Our shareholders have decided to give priority to Brazil this year", says Marise. The company will reactivate the old Akros plant in Uberaba (MG), and increase the productive capacity by 20%. Both Tigre and Amanco intend to make acquisitions in Brazil this year. On the radar of these companies - which already assess the opportunities - are companies connected to the petrochemical chain, other PVC applications and even the manufacturers of pipes and fittings themselves.
Less known than the two biggest companies of the sector, Corr Plastik, headquartered in Cabreúva (SP), outlines ambitious plans to expand its business and become as popular as its main rivals. In an interview to Valor, Sergio Monteiro, President of the company, said the company intends to speed up the organic growth. To do so, it plans to erect its third plant that will be located in the Midwest region. Family-managed, Corr Plastik was founded in 1992 in Diadema, in the Metropolitan Region of São Paulo.
Corr Plastik has always had strong presence in the segments of sanitation, heavy infrastructure, irrigation and telecommunications. It now wants to become known to the consumer. With earnings of R$ 140 million (US$ 77.8 million), the company plans to grow 20% this year, driven, especially, by the real estate. The company will invest nearly R$ 15 million (US$ 8.3 million) to launch new products and increase the current capacity of its units.