This alliance agreement with VA Tech Wabag will allow Sumitomo to expand its global water infrastructure assets, increase its operational capabilities and make a step into the Indian water treatment sector, which is expected to grow significantly in the coming years.
On the other hand, VATW, which supplies and operates a range of water and wastewater treatment plants in India and other parts of the world, intends to utilize Sumitomo’s global network and fund-raising abilities regarding project investment to expand into capital intensive concession type of business.
Sumitomo has also recently agreed to establish a joint venture with Beijing Capital, a company in China’s water infrastructure market, to accelerate the global development of its water infrastructure business including water supply and sewage systems and desalination.
