US based leading firm in fire safety and electronic security systems, UTC Fire & Security (UTCFS) for acquisitions in India

US based leading firm in fire safety and electronic security systems, UTC Fire & Security is set for Indian acquisitions in a move to expand its foothold in India. Aimed at expanding its presence and business offering in the country, the American firm will be making some acquisitions in India, it said. UTCFS is a unit of the US based United Technologies Corporation that manufactures diversified products such as Carrier heating and air conditioning, Hamilton Sunstrand aerospace systems and industrial products.

Other than these, the firm also manufactures Otis elevators and escalators, Pratt & Whitney aircraft engines, Sikorsky helicopters and UTC power fuel cells. UTC expects its Indian business to grow ten-fold in the coming five years, said the firm’s president, William M Brown. Mr. Brown was speaking to the Business Standard, reiterating that the growth strategy in India will be attained via a combination of new offices, localizing its products for Indian customers and acquisitions.

The chief executive said the firm will be making considerable Indian investments, even though it would not reveal the amount to be put into these undertakings. UTCFS has had impressive postings, with an estimated threefold growth in its business from $10 million in 2005 when the firm made its first foray into India, to more than $30 million currently. When UTCFS begun its operations in India, it had about 150 employees, currently, five years down the line, the firm has 400 employees.

Brown said the firm was already in talks with some Indian firms, for possible acquisition but did not indicate at what level the talks were. The cost of the potential Indian acquisitions was also kept under wraps by the chief executive. But even so, he said an acquisition should be expected any time from now. According to Brown, the firm has contracted the services of an international consulting company to carry out a detailed study of the Indian fire and safety and security solutions market.

With that in mind, the firm is currently biasing its target on three primary segments namely power, petroleum, oil and gas, real estate and network systems such as mobile phones. India’s fire safety and security industry is worth $1 billion, and is earmarked for exponential growth, a fact for which UTC Fire & Security is keen on taking advantage of. The firm believes it has a variety of fire and safety and security solutions well tailored to cater for customers in the country.

19 Sep 2010.