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New Tigre, ADS JV aims to open more doors for Tigre in US

By: Catherine Kavanaugh

April 16, 2014

A new joint venture between Tigre S.A. Brazil, a leading PVC pipe maker, and Advanced Drainage Systems Inc., the world’s largest high-density polyethylene pipe producer, seeks to open more doors into North American markets for the Latin American company.

The new entity, Tigre-ADS USA Inc., formed through an April 7 business agreement inked just days after ADS announced plans for an initial public offering.

The JV, made public April 15, involves Tigre’s manufacturing facility in Janesville, Wis. Tigre has been injection molding pipe fittings at the plant since a 2007 JV with Freedom Plastics. Freedom Plastics went out of business in 2009.

In the latest partnership for the site, Tigre-ADS USA, will continue to offer its current product line of PVC fittings for the waterworks, plumbing and building heating and cooling systems markets as it seeks to expand its customer base.

“Our relationship with ADS will allow for broader access to the U.S. and Canadian markets,” General Manager Fabricio Rubine said in a statement. “...We are very excited about this tremendous opportunity.”

ADS has 48 factories and 19 distribution centers located in all 50 states, giving it a solid U.S. market presence. The company also has manufacturing plants in Canada and runs joint ventures in growing areas of Mexico and Central and South America.

In January, ADS started up a second HDPE pipe plant in Brazil with Tigre as its JV partner to meet demand for infrastructure products in rapidly expanding areas of South America.

ADS sells more than $1 billion worth of pipe a year. The company produces mostly corrugated HDPE pipe for drainage systems and storm sewers but it also makes polypropylene pipe for storm and septic chambers. It has a global network of 59 plants and 28 distribution centers.

Tigre makes PVC pipe, fittings and accessories for building, infrastructure and irrigation markets. It has 24 facilities, including 10 in Brazil and 14 outside the country.