Ducol Organics & Colours Limited (NSE: DUCOL), a leading manufacturer of pigment dispersions and masterbatches, has taken a major step toward business diversification by acquiring Bitumag Industries Pvt. Ltd., a prominent player in waterproofing membrane solutions. With this strategic acquisition, Ducol officially marks its entry into the high-potential non-pigment dispersion segment, especially catering to the construction chemicals and waterproofing industry.
The acquisition aligns with Ducol’s long-term vision to broaden its product portfolio and leverage its core competencies in dispersion technology. Bitumag Industries, known for its advanced polymer-modified bitumen membranes, brings with it a robust manufacturing capability of over 10 million square meters annually. The company recorded revenues of ₹36.8 crore and a profit after tax of over ₹3 crore for FY25 (as of February 28, 2025), underscoring its financial strength. Given the revenue figure, Ducol would most likely have paid between 30-60 Cr for this acquisition.
Ducol’s entry into non-pigment dispersions represents a natural evolution from its traditional pigment-based offerings. Unlike pigment dispersions, which focus on color, non-pigment dispersions are used to enhance functional properties such as adhesion, durability, UV protection, and chemical resistance. These applications are critical in industries such as construction, waterproofing, sealants, adhesives, and coatings.
India’s waterproofing membrane market, valued at approximately USD 492 million in 2023, is projected to grow to USD 1.75 billion by 2032, at a compound annual growth rate (CAGR) of 15.7%, according to Astute Analytica. With the real estate and infrastructure sectors booming — particularly in projects like bridges and tunnels — Ducol is now strategically positioned to tap into this expanding market.
“This acquisition represents a crucial turning point in our diversification strategy,” said a company spokesperson. “We are not just entering a new vertical, but expanding into sectors with significant long-term demand, while retaining strong process synergies with our existing operations.”
The move will allow Ducol to:
- Utilize its existing infrastructure for scalable growth
- Tap into high-growth construction chemical and waterproofing sectors
- Broaden its product mix and customer base
- Continue pursuing growth through acquisitions
With this development, Ducol reaffirms its commitment to innovation and sustainable growth, as it aims to emerge as a leader in both pigment and non-pigment dispersion markets across India.