M&A

M&A

Lumax Auto Tech to acquire 75% stake in IAC's Indian unit for Rs.440-Cr

Economic Times  

Gurugram-headquartered, publicly listed Lumax Auto Technologies is to acquire a majority stake in IAC International Automotive India from the International Automotive Components (IAC) Group at an equity valuation of INR 587 crore. As part of this deal, 75% of the stake will be bought through SPV at INR 440 crore, which will be paid in cash funded by debt and internal accruals. IAC will continue to hold a 25% stake. KPMG Corporate Finance acted as the exclusive financial advisor for the transaction. A part of the Lumax-DK Jain Group, Lumax Auto Technologies is a tier-1 automotive systems and components supplier. IAC India is a tier-1 interior systems and components supplier to key automotive OEMs in India. IAC India has five manufacturing plants - two in Chakan (Pune) and one each in Manesar, Nashik and Bengaluru - besides an engineering centre in Pune. IAC India's day-to-day business and operations will continue to be managed by its existing professional management team.