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Auto components maker Samvardhana Motherson International (SAMIL), the principal holding company of Samvardhana Motherson Group (of diversified auto ancillaries), on Thursday said it has acquired 100 per cent stake in MS Global India (MSGI) from Korea-based MS Group.
The acquisition of MS Global India will see SAMIL enter a new vertical - sheet metal parts with focus on hot stamping - a light weighting technology for high strength sheet metal parts.
“This technology augurs well towards the trend of light weighting of vehicles and will also find increased use in electronic vehicles,” the company said without disclosing the deal amount.
MSGI is a ₹3,500-crore profitable Tier-I supplier to leading global commercial vehicle manufacturers. Through its manufacturing facility in Chennai, it is currently engaged in supplying Cabin-in-White (pressed sheet metal business) and frames for chassis for commercial vehicles. MSGI also has the exclusive licence to use MS Group’s leading hot stamping technology in India.
“We believe that there are many synergies at play, most important being, it increases our offerings in terms of content per car, as these parts are used in both passenger and commercial vehicles,” VC Sehgal, Group Chairman, said.
Technology from MS Global India and the spread of Motherson Group’s operations and client portfolio means that the business can be accelerated many fold in a short span of time, he said.
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