PPRM’s acquisition of Pomini LRM sparks global innovation partnership
July 4, 2023 3:16 pm
In a bold move to promote Italian innovation worldwide, PP Rolling Mills (PPRM) has emerged as the major shareholder of Pomini Long Rolling Mills. With a mission to achieve a remarkable $500 million in combined revenue, this strategic partnership aims to drive growth by exploring new product streams and markets.
PP Rolling Mills, a prominent producer and provider of rolling mills, tube mills, and associated machinery, has recently become the latest stakeholder of Pomini Long Rolling Mills. Pomini LRM, a well-known Italian firm specializing in long-rolling mills for special steels, rebars, rails, and related technologies, has formed a strategic alliance with PPRM. This expansion into the European market strengthens PPRM’s global presence and demonstrates its unwavering dedication to providing superior products and services on a global scale.
The Indian steel industry is expected to rise from 120 million tonnes to 300 million tonnes by 2030, positioning it as the world’s fastest-growing steel market. They will be well-equipped to solve this booming market by leveraging PPRM’s established customer relationships and Pomini LRM’s extensive experience producing special steels and rails.
PPRM already serves over 300 steel rolling mills and collaborates with major heavy equipment manufacturers such as TATA Steel, JSPL, Sanyo Steels, Primetals, and Kobelco. Meanwhile, Pomini LRM has a strong international presence in over 70 countries, enabling them to tackle the challenges of the steel industry. With five production sites in India and a service hub in Italy, they aim to improve their customers’ performance, accuracy, and sustainability. Furthermore, the Tech Centre in Milan will drive innovation and the development of new technologies for the steel sector. With a typical yield of 96-97% at the Pomini LRM plant, this union of Indian entrepreneurship and Italian innovation and design will usher in a new era in the global steel industry.
Pankaj Khanna, MD of PP Rolling Mills, expressed enthusiasm for the partnership and highlighted the company’s mission to achieve $500 million. He said, ” Our growth will be fuelled by driving innovation through R&D, introducing world-class products from Pomini LRM, and expanding our overseas operations. We aim to provide our clients with an unrivalled selection of sophisticated steel rolling mill solutions manufactured and sourced based on the highest manufacturing and quality standards inspired by the Toyota Production System. This milestone signifies our commitment to supporting Indo-Italian trade and development for the benefit of our employees, customers, suppliers, and the wider community. This arrangement presents elevated career opportunities and stability for employees and members of both companies and the communities in which they operate. I believe that the unique knowledge transfer will broaden their skill sets, foster a culture of continuous learning and improvement, and provide new avenues for personal and professional growth.”
Ernesto Bottone, CEO and Member of the Board, Pomini Long Rolling Mills, said, “The integration of Pomini LRM’s technological legacy with PPRM’s manufacturing and sourcing prowess establishes a powerful force that can redefine industry standards and cater to the evolving needs of customers in untapped markets. This partnership brings together a combined legacy of over 220 years and 1300 employees, facilitating intellectual resources and expertise pooling to deliver cutting-edge steel solutions. The tremendous potential of this collaboration holds the promise of transforming the industry and delivering unparalleled sustainability, innovation, quality, safety, and reliability to customers. Pomini Long Rolling Mills will continue to operate independently in Italy from their HQ in Legnano (Milan) with their qualified human resources while providing respect for customers, partners, suppliers, and communities where both companies operate.”
Claudio Maffioletti, Secretary General of The Indo-Italian Chamber of Commerce and Industry, said, “The participation of PP Rolling Mills as shareholders of Pomini LRM is another bright example of the synergy between the know-how of Made in Italy technologies and the huge potential for market penetration offered by the Make in India scheme. We welcome this venture as a further step towards the progressive integration of the Italian and Indian economies and developing Indo-Italian business relations.”
Naveen Jindal, the visionary leader and Chairman, Jindal Steel, expressed his optimism, stating, “We share a longstanding relationship with Pomini LRM, and we look to strengthen our partnership with Pomini LRM further as we continue to seize opportunities for building a self-reliant India. PP Rolling Mills and Pomini LRM can fuel Jindal Steel’s ambitions to stay at the forefront of technological advancements and maintain a competitive edge in the market.”
Ruggero Brunori, CEO of Ferriera Valsabbia SpA, expressed the significant benefits customers can expect from the strategic alliance between Pomini LRM and PPRM. This collaboration leverages their rich history of collaboration, extensive technical expertise, and continuous development of innovative solutions by Pomini LRM, combined with PPRM’s exceptional production capabilities. Brunori emphasized that this strategic alliance holds great importance for the growth and success of his company as well. He said, “The partnership between Pomini LRM and PPRM signifies an even stronger commitment to delivering high-quality solutions that meet customer needs and exceed their expectations. The ultimate objective is to strengthen Ferriera Valsabbia’s position as a leader in the iron and steel sector, competitively offering customers tangible added value.”
Maurizio Carminati, President of the General Confederation of Italian Industry – Alto Milanese, emphasized the distinction between companies and entrepreneurs, highlighting that while entrepreneurs may change over time, companies endure. He said, “The prosperity and advancement of our region depend heavily on the industry that thrives within it and the ability of companies to attract and nurture talented individuals who drive progress. Therefore, initiatives like this partnership are highly valued and align with the foundational principles of our local industrial economy, which gave rise to Pomini LRM and the Italian mechanical industry.”