Lumax Auto Technologies is set to enter the green fuels market through its acquisition of Greenfuel Energy Solutions, a supplier of CNG and hydrogen fuel systems, to support sustainable mobility in India’s automotive sector.
14 Sep 2024 | 4692 Views | By Autocar Professional Bureau
Lumax Auto Technologies Limited (LATL), a Tier-1 supplier of automotive systems and components, has signed an agreement to acquire a majority stake in Greenfuel Energy Solutions Private Limited (Greenfuel) from its current shareholders.
This acquisition will mark LATL’s entry into the green and alternate fuels segment, including CNG, hydrogen, ...
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Lumax Auto Technologies Limited (LATL), a Tier-1 supplier of automotive systems and components, has signed an agreement to acquire a majority stake in Greenfuel Energy Solutions Private Limited (Greenfuel) from its current shareholders.
This acquisition will mark LATL’s entry into the green and alternate fuels segment, including CNG, hydrogen, and other applications, which are expected to grow in the coming years.
Greenfuel supplies high-pressure fuel delivery and storage systems, primarily for CNG and hydrogen vehicles, as well as fire and smoke alarm, detection, and suppression systems for the automotive industry. It is a supplier to major OEMs such as Maruti Suzuki, TATA Motors, and Volvo Eicher Commercial Vehicles. Greenfuel’s other ancillary businesses, which are not part of the acquisition, will be separated from the deal.
This partnership offers LATL the opportunity to expand its range of solutions for automotive OEMs in India. Lumax and Greenfuel’s management teams will work together to strengthen the business and aim to position Greenfuel as a key player in the alternate fuels segment. Greenfuel’s daily operations will continue under the leadership of Akshay Kashyap, along with the existing management team.
Deepak Jain, Promoter Director of LATL, stated, “This acquisition aligns with our strategy of forming partnerships with industry leaders. As the CNG vehicle market grows, particularly in the passenger vehicle segment, we aim to use this platform to offer quality solutions and establish a presence in the alternate fuels segment.”
Anmol Jain, Managing Director of LATL, added, “This partnership will allow us to diversify our product offerings and increase our share in the four-wheeler market. Together with Greenfuel, we will focus on leveraging synergies across customers, technologies, and manufacturing to drive business growth.”
Akshay Kashyap, founder and CEO of Greenfuel, commented, “This strategic partnership with LATL combines their market reach and customer base with our expertise in alternate fuel systems. We expect this collaboration to create value for both parties and support innovation in the automotive sector, contributing to more sustainable mobility solutions.”