Samvardhana Motherson Automotive Signs Pact to Buy German Firm for EUR 540 Mn

Samvardhana Motherson Automotive Systems Group BV (SMRPBV) on Sunday mentioned it has inked a pact to purchase Germany-based SAS Autosystemtechnik GmbH at an enterprise worth of 540 million euros (round Rs 4,789 crore). The firm, a unit of Samvardhana Motherson International Ltd (SAMIL), has entered into an settlement with FORVIA Group agency Faurecia to purchase SAS Autosystemtechnik.

“The enterprise worth of the enterprise is Euro 540 million and the transaction can be funded by a mixture of debt and inner accruals,” SMRPBV said in a statement.

The transaction remains subject to information or consultation with employee representatives, it added.

Completion of the envisaged transaction will be subject to customary regulatory approvals and is expected by the second quarter of FY24, the company said.

“We have always added new products and technologies to closely serve our customers in a more cohesive way. The acquisition of SAS is an important step in this direction,” Motherson Chairman Vivek Chaand Sehgal famous.

With this acquisition, the corporate can be much more diversified within the buyer base and merchandise, he added.

“This acquisition will remodel Motherson Group to be a number one assembler of cockpits modules globally, with a particular give attention to EV fashions. We look ahead to welcoming over 5,000 new members into the Motherson household,” Sehgal said.

SAS offers assembly and testing solutions across the automotive value chain. It has 24 facilities across 12 countries (Argentina, Brazil, China, Czech Republic, France, Germany, Mexico, Portugal, Slovakia, Spain, Turkey, and the US).

The company’s gross revenues on a principal basis were Euro 4.4 billion and net revenue (IFRS) of Euro 896 million for the year ended 31st Dec 2022.

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