JS Auto Cast Foundry India, a step-down subsidiary of Pune based leading forging company Bharat Forge, on Monday announced that it has entered into Business Transfer Agreement (BTA) with Indo Shell Mould (ISML) for acquiring their SEZ Unit in SIPCOT, Erode.
"The SEZ Unit with a capacity of 42,000 MTPA, supplies fully machined critical castings to marquee customers in the automotive industry and will operate as the third manufacturing unit of JS Auto. This takes the capacity at JS Auto to 1,42,000 MTPA," the company said in a regulatory filing.
According to the company, this acquisition strengthens JS Auto’s presence in the castings sector, expands the product offering & client base and enhances its footprint in the Indian manufacturing landscape. The acquisition will be EPS accretive from the first year itself.
The closing of the transaction is subject to customary conditions and regulatory approvals.