April 24, 2013: In an effort to grow its instrument cluster business in India and also expand its global manufacturing footprint for the product, Denso Corporation of Japan has acquired shares of Pricol Components Ltd, a subsidiary of Pricol Ltd that designs, manufactures, and sells instrument clusters for passenger vehicles.
Denso completed the investment transaction on April 23, 2013, and now holds 51 percent ownership with Pricol Ltd holding the remaining 49 percent. Pricol Components Ltd will be renamed Denso Pricol India Ltd later this year. Denso has been a longstanding partner with Pricol Ltd, mainly in the field of instrumental cluster business.
Pricol Components began manufacturing instrument clusters for passenger vehicles on April 22, in a section of Pricol’s two plants located in Coimbatore and Manesar, Haryana, using production equipment obtained from Pricol.
Denso has appointed Masaaki Muraki as the managing director of the new company and has targeted sales of Rs 155 crore for the fiscal year ending March 31, 2016.
Following its investment in Pricol Components, Denso has sold all of its shares in Pricol Ltd, which is one of the leading automotive suppliers in India and designs, manufactures and sells instrument clusters, automotive sensors, and powertrain-related products
At present, Denso produces automotive instrument clusters in nine countries and regions across the globe. The company recently announced it will begin producing instrument clusters in Poland in August 2013.
Denso has had operations in India since 1984. Currently, it has six subsidiaries, including four production companies, Denso International India, the regional headquarters established in 1999, and Denso Subros Thermal Engineering Centre India, which is responsible for the design of air-conditioners and thermal appliances for cars. In total, the Japanese company employs more than 2,400 employees in India.
As a global automotive supplier of advanced technology, systems and components in the areas of thermal, powertrain control, electronics and information and safety, Denso Corporation’s customers include all the world's major carmakers. Worldwide, it has over 200 subsidiaries and affiliates in 35 countries and regions (including Japan) and employs approximately 120,000 people. Consolidated global sales for the fiscal year ended March 31, 2012, totaled US$38.4 billion (Rs 208,204 crore). In the last fiscal year, the company spent 9.5 percent (Rs 19,779 crore) of its global consolidated sales on research and development.