Jaykay Enterprises Ltd (JKEL), part of the JK conglomerate, has formed a joint venture with the Singapore unit of Germany-based metals and plastics industrial printing manufacturer EOS.
The focus of this Bengaluru-based JV – NeuMesh Labs Pvt Ltd – will be to strengthen the two companies’ presence in the metal printing segment in the country, JKEL said in a statement.
In a stock-exchange filing, JKEL said the JV with EOS Singapore Pte Ltd will see the two firms hold 70% and 30% stakes, respectively. Further, it said it is also aiming to invest in a print farm where infrastructure and assets will be owned by the company.
This is not the first time JKEL has made a move in the 3D printing and manufacturing space in the country. In April 2018, it picked up a 27.65% stake in Nebula3D Services Pvt Ltd, which provides 3D printing-related applications including scanning, modelling, reverse engineering, and designing and benchmarking.
“A huge component of the metal 3D market in our country remains unaddressed. Due to the ever-changing technology and limitation in the size and deposition rate in printing, companies are reluctant to invest in the technology,” JKEL additional director Abhishek Singhania said.
The joint venture will address the need for printing applications required by sectors including defence, aerospace, and healthcare, he added. JKEL claims a study commissioned by it has found that the metal 3D printing market in India can grow to Rs 1,190 crore (approximately $162.96 million at current exchange rates) by 2025, at a compound annual growth rate of 33.2%.
NeuMesh Labs will help customers adapt this technology through offering EOS’ solutions in areas including design for additive manufacturing, part screening and selection, and topology optimisation. The venture will look to secure both domestic and international clients.
Shares of JKEL ended trading on Monday up 1.91% at Rs 10.69 apiece. The company reported consolidated total income of Rs 5.36 crore for the 2019-20 financial year, with losses of Rs 44.2 lakh for the same period.