Simpolo Group, India’s largest premium tile manufacturer, has raised $66 million from the India Business Excellence Fund-IV. The fund is managed by Motilal Oswal Finvest Ltd, MO Alternate Investment Advisors Pvt Ltd (MOPE) and India SME Investments – Fund I.
The exact stake to be held by the new investors was not disclosed. Simpolo Group — headquartered in Morbi, Gujarat — was established in 2008 and has been serving the premium tiles segment through 1,100 dealers domestically and also serving 50 export markets, the statement said.
The group said that it will aim to use the funds to increase the market share and grow penetration in the market, both domestic and international. It will also use the funds to expand the current production capacity of tiles and sanitaryware and improve logistics.
Simpolo Ceramics is the fastest-growing premium brand in the ceramic industry in India. Found in 1977, the brand has grown by leaps and bounds by bringing stunning designs and cutting-edge technology together. Simpolo is inspired by the Italian market and is the first ceramics brand to take an initiative in the space of ceramics to create tiles made with superior technology.
“MOPE’s experience to create leaders in the manufacturing sector and the expertise gained from their real estate fund will be instrumental in elevating Simpolo Group to one of the leaders in the building materials industry in India,” said Jitendra Aghara, group CMD, Simpolo Group.
“We believe that the luxury and premium tiles segment in India is poised for rapid growth, as the share of high-end tiles will increase from less than 10% today to 30-40% as seen in developed markets. Simpolo and Nexion, with their focus on innovative designs, superior product quality, widespread dealer network and brand positioning is well placed to capture this growth and become a leading building materials player in India,” said Prakash Bagla, director of MOPE.
Simpolo Vitrified Pvt Ltd and Nexion International Pvt Ltd are a part of the Simpolo Group. They both manufacture luxury and premium tiles in India.