The French Assystem acquires an Indian infrastructure consulting company for 22 million euros – .

The French Assystem acquires an Indian infrastructure consulting company for 22 million euros – .

The company listed on Euronext Paris bought a 99% stake in the Indian company for around € 21-22m, said Ashish Tandon, managing director of Assystem STUP India, in an interview with mint.

Assystem offers engineering services for infrastructure projects. The acquisition of the Mumbai-based consulting firm will help the company develop additional expertise to tap into the Indian infrastructure market.

The agreement will allow Assystem to optimize its nuclear engineering services by capitalizing on the existing Indian base of STUP to support various players in the nuclear power plant construction program launched by the Indian government, the company said.

The company further plans to establish a nuclear engineering knowledge center in India with the aim of becoming one of the leading industry players in the country, he said. Additionally, he seeks to leverage STUP’s team and networks for growth in the infrastructure engineering market in India.

“The new entity will seek to maximize new opportunities and perspectives arising from India’s national infrastructure pipeline program,” Assystem said.

To date, the 7,000 projects identified in the infrastructure pipeline have an estimated project cost of 111 trillion. Tandon said this offers a major opportunity for project design and management, in which Assystem can participate.

“You can safely take 7-10% of the cost of the project (as a project design and management opportunity), which is huge for any consulting company,” Tandon said, referring to the opportunity offered by the Indian target of infrastructure creation. He also said that the opportunity in India for project consultants is big enough for all stakeholders.

Through this operation, Assystem wishes to supplement its expertise in non-nuclear infrastructures, in particular in roads, highways, expressways, airports, aviation, subways and railways as well as in offshore and coastal engineering. Other areas the company is considering are urban development, industrial complexes and renewable energies.

The deal expands the company’s access to India’s energy and infrastructure market, the statement said.

STUP Consultants offers engineering services for transport infrastructure. This covers projects such as highways, rail infrastructure, airport terminals, water treatment and energy. It generates an annual turnover of around 20 million euros and has around 1,100 employees across India, Assystem said in its statement. An email sent to STUP Consultants on Thursday went unanswered at the time of publication.

To subscribe to Mint newsletters

* Enter a valid email
* Thank you for subscribing to our newsletter.
Never miss a story! Stay connected and informed with Mint. Download our app now !!


Please enter your comment!
Please enter your name here