Warburg acquires majority stake in bath fitting maker Watertec

Global private equity major Warburg Pincus on Tuesday announced that it has acquired a majority stake in bath fitting maker Watertec for an undisclosed sum.

Canyon Trail Investments, an affiliate of Warburg, has acquired the unspecified stake in the 1996-incorporated polymer-based bath fittings brand.

The PE major also announced a leadership change as part of which Mathew Job will be taking over as the executive chairman of the company, which manufactures taps, showers, mixers, health faucets, bathroom accessories, pipes, sanitaryware and other allied products from three manufacturing facilities in South India.

''This investment will enable us to fortify our leadership position in the polymer-bath fittings market, enhance our brand equity, expand our product portfolio and extend our geographic presence to newer regions allowing us to serve customers and channel partners better,'' the company's executive director and chief executive officer Ramesh Baliga said.

Warburg's managing director in India, Anish Saraf, said the fund sees the bath fittings segment as an attractive market that is poised for strong growth on increasing sanitation and housing levels and the penetration of polymer-based products offering better durability.

Watertec, which has a distribution network of over 20,000 retailers, is well positioned to capitalise on the tailwinds, he added.

Mathew, who joins the company after serving as the chief executive of Crompton Greaves Consumer Electricals, said Watertec is a trusted brand that has delivered innovative products over the last 25 years.