M&A

M&A

Samvardhana Motherson to acquire 95% stake in Japanese autocomp co. Atsumitec for $57-M

Business Line   BSE Announcement   Samvardhana Motherson International Ltd (SAMIL)   Atsumitec Co Ltd  

Noida-based Samvardhana Motherson International Ltd (SAMIL) is to acquire a 95% stake in Atsumitec Co Ltd ., a manufacturer of high-precision automotive components based in Hamamatsu, Japan. The acquisition, valued at about JPY 8.5 Billion (USD 57 million), will be executed through SAMIL’s 100% subsidiary, Samvardhana Motherson Automotive Systems Group B.V. (SMRP B.V.). Honda Motor, which currently owns a 48.01% stake, will retain the remaining 5% stake in Atsumitec. The turnover of the target company for FY24 was about USD 412 million with a book value of about USD 207 million.The transaction will be completed in multiple phases with SAMIL expected to hold a majority stake by Q4FY25. The final consolidation is slated for completion by Q1FY26. The acquisition is part of SAMIL’s efforts to expand its global footprint, diversify product portfolio, and strengthen ties with Japanese original equipment manufacturers (OEMs).Atsumitec, established in 1949, specializes in producing chassis and transmission components for two-wheelers and four-wheelers.