Coimbatore-based Pricol Ltd, one of South India’s leading auto component players, has sold its 49 percent stake in joint venture with Denso Corporation to the Japanese company.
In a statement, Pricol informed the Bombay Stock Exchange (BSE) that as per the share purchase and joint venture JV termination agreement between Denso Corporation, Japan and Pricol, the Indian company has sold its equity in Denso Pricol India for a consideration of Rs 20 crore.
Subsequent to the aforesaid sale, Denso Pricol India has become a wholly owned subsidiary company of Denso Corporation, Japan.
In December 2014, Pricol acquired a Brazilian-based auto component manufacturing company. The buyout had constituted the company’s second manufacturing footprint outside India. It already has one manufacturing plant in Indonesia which caters to key customers in South East Asian countries.
Pricol which operates in four business areas – driver information systems (DIS), powertrain products (PTP) sensors and switches and fleet management systems (FMS) – is a key supplier of instrument clusters to a number of two-wheelers OEMs in India. The company has two plants in Coimbatore, one plant each in Pune and Manesar and two plants in Pantnagar, Uttarakhand.