Frost & Sullivan gives its perspective on the move
Pentair, a Global conglomerate catering to industrial and non-industrial (including residential, commercial and agricultural among others) customer segments, has acquired Tyco Flow Control, a supplier of industrial valves in the Middle East. According to Frost & Sullivan, which shared this information, the move complements Pentair’s capabilities in the region and dominance in the relevant product market and is well placed to leverage on Tyco Flow Control’s capabilities and strong customer base.
Virein Kumar Yadlapalli, Program Manager, Automation and Electronics Practice, Frost & Sullivan, giving his perspective on the matter, believed that the company’s access to Emirates Techno Casting (ETC), a casting supplier in the Middle East, via Tyco Flow Control, is expected to facilitate a relatively higher cost control and improved delivery/lead times, specifically applicable to valves and pumps product offerings.
Continued healthy growth of the product market in the Middle East – pumps and valves in the industrial sector is a cumulative of over USD 2.5 billion opportunity – is a significant push for increased product localisation/local value-added activity and preference for local sourcing, which bodes well for Pentair, Frost & Sullivan elaborated, and added that Pentair’s announcement to invest AED 183 million makes it perfectly placed to capitalise on the market opportunity via its established local setup and global market expertise.