Gabriel India and Forvia subsidiary Faurecia Automotive Seating have formally incorporated their automotive seating joint venture entity, the companies announced on Monday. The new entity has been incorporated under the name Faurecia Anand Seating India.
The joint venture has been established with an initial aggregate equity investment of Rs 20 crore. Under the ownership structure, Gabriel India has subscribed to 99,99,999 equity shares totaling Rs 9.99 crore to hold a 50 percent minus one share stake. Faurecia Automotive Seating India has subscribed to 1,00,00,001 equity shares totaling Rs 10.00 crore to secure a 50 percent plus one share controlling stake.
Autocar Professional had earlier reported that Forvia and Gabriel India signed a joint venture agreement to expand their seating business in India. The companies target an approximate 10 percent market share over the next five years, with the partnership intended to strengthen Forvia’s access to Indian vehicle manufacturers and combine its seating manufacturing footprint with Anand Group’s OEM relationships and knowledge of the Indian automotive industry.