Thermax forms power equipment JV with SPX of US

27 Aug 2009

US industrial equipment maker SPX Corp and Pune-based energy and environment management major Thermax Ltd yesterday announced having entered a joint venture to market SPX's products, particularly pollution control systems, to India's power sector and selectively to Southeast Asia.

The joint venture will be located in Pune, with Thermax owning 51 per cent and SPX owning the remaining 49 per cent. The partnership will initially market SPX products for coal-fired power plants producing more than 300 MW. It expects annual revenues of up to $100 million in five to 10 years.

Products include the company's Balcke-Durr branded rotary heat exchangers, electrostatic precipitators and bag filters. The rotary heat exchangers are designed to enhance the efficiency and performance of large coal-fired plants, while electrostatic precipitators and bag filters are designed to reduce emissions.

"Our joint venture with Thermax in India represents a significant milestone in SPX's global expansion plans and will enable our two companies to contribute our combined proven technologies and industry expertise toward the advancement of India's energy infrastructure," said Christopher Kearney, SPX's chief executive officer, at the company's Charlotte, North Carolina headquarters.

The two companies have a pre-existing relationship that dates back to 2007, when Thermax first became a licensee of SPX's Balcke-Durr branded, sub-300 MW electrostatic precipitator technology for smaller power stations.

M S Unnikrishnan, managing director of Thermax, told newspersons in Pune, ''With this joint venture, the country will now have a world-class supplier for power plant accessories and balance of plant equipment – a critical factor for our power starved economy.''

The venture has lined up supply-chain partners, but may initially need to source some products from SPX's overseas facilities, Unnikrishnan said. Pune-based Thermax makes boilers, offers water and waste solutions and installs captive power projects.