Shriram Pistons and Rings, country’s largest piston manufacturer has announced it will acquire 75% shareholding in Japanese company Takahata Precision India Private Limited (“TPIL”) through its wholly owned subsidiary, SPR Ingenious Limited (“SEL”). This will mark SPRL’s foray into the manufacturing of the precision injection moulded components.
This is the second major acquisition by Shriram Pistons, after it took over EMFI, manufacturers of Electric Vehicle Motors and Controllers based at Coimbatore, Tamil Nadu (India). The acquisition of Takahata is subject to approvals. EY acted as the exclusive financial advisor to SPRL on this transaction, the company said in a statement.
Takahata Precision Co, Japan (“Takahata Japan”) is a leading precision injection moulded parts manufacturing company with a wide range of products in automotive space. Takahata Japan is also present in Industrial products/parts such as office automation equipment, optical equipment, residential facilities, medical equipment and accurate measuring instruments.
Commenting on the acquisition, Krishnakumar Srinivasan, MD & CEO SPRL said, “with this strategic investment, SPRL aims to diversify its product portfolio beyond the current pistons, rings, engine valves and EV components to precision plastic injection moulded parts. With the operations & technology support of Takahata Japan to TPIL, we will be able to service the domestic and global customers requiring precision moulded parts both for automotive & industrial applications. Takahata brings in their high technology expertise to develop complex parts for these applications”
Krishnakumar added “this acquisition combines two strong, technology-led manufacturing teams, allied in their pursuit of excellence to deliver world class manufacturing and moulding technology, which will enhance relationships with existing customers while creating additional opportunities for growth and expansion.”
TPIL is a subsidiary of Takahata Japan incorporated in 2010 and has its manufacturing facility at Neemrana, Rajasthan. TPIL is well equipped with design and development of high technology precision moulds, automated assemblies, internal tool manufacturing and state-of-the-art injection moulding component manufacturing facilities, claimed Shriram Pistons.