Lloyd Electric and Engineering Limited (LEEL), one of the largest manufacturers of Air Conditioner coils in India, recently announced the acquisition of Luvata Czech s.r.o. in Prague (Czech Republic), the leading european manufacturer of customized finned pack heat exchanger coils, through its Special Purpose Vehicle (SPV) Lloyd Coils Czech s.r.o.

In August 2007, Luvata acquired ECO SpA, the world’s foremost manufacturer of heat-transfer coils and coolers, and was required by the European Commission to release the Prague operation to ensure continued fair competition in the market. Commenting at the time of the Commission’s ruling, John-Peter Leesi, CEO and President of Luvata, commented:"A healthy market cannot exist without fair competition and so we respect the Commission’s judgment. We wish the best of futures to our former Czech company under its new owners and I hope it will continue with some of the Luvata tradition that made it so successful.”

Commenting on the acquisition, Mr. Brij Raj Punj, Chairman and Managing Director, LEEL, said: “We are very excited about this acquisition. Luvata Czech represents a unique opportunity in the European market, offering LEEL entry into the attractive, regulated, high growth finned pack heat exchanger (coils) market in Europe.” The European market is fragmented and most OEM’s are now looking to outsource the same to specialized coil manufacturers. This will help LEEL to increase its business volume by working closely with clients and developing products as per their requirement. The addition of Luvata Czech’s experienced management team, who have strong relations in the industry, should result in significant business synergies, reveals the company’s press release.