V-Guard Industries, the Kerala-based manufacturer and marketer of electrical and electronic products, said it is planning its first overseas acquisition in the medium to large industrial uninterrupted power supply manufacturing space.
The company is in advanced stages of negotiations with a UPS manufacturer each in Europe and China and the deal may come through within a few months, said Mithun Chittilappalli, executive director, V-Guard.
"We are looking at acquiring technology and expertise in high-end UPS manufacturing through these buyouts than creating a big market outside India," he said.
At present, the company manufactures only online UPS, targeted at domestic users of computers and electronic gadgets, which contribute only 5-6 per cent to its around Rs 300-crore (Rs 3-billion) turnover.
The industrial UPS market in India, growing at a minimum 10-15 per cent per annum, is currently valued about Rs 1,500 crore (Rs 15 billion).
The scene is dominated by a few players such as Neumeric Power Systems, APC, Emerson and Microtech.
He added that the company was negotiating to buy the industrial UPS subsidiary of a power solutions player in Europe with about Euro100-120 million turnover.
V-Guard