Auto-components maker Precision Camshafts Ltd has acquired Nashik-based MEMCO Engineering Pvt. Ltd for an undisclosed amount.
Precision Camshafts picked up 95% stake in MEMCO Engineering.
“The synergy will help us strengthen our positioning in the industry and diversify into a new product range,” Yatin Shah, chairman and managing director of Precision Camshafts, said in a statement.
“With the merged know-how in manufacturing and financial bandwidth from Precision Camshafts, there is a potential to scale up the business in Nashik,” Shah said.
Incorporated in 2006, MEMCO Engineering is promoted by Rajan Dharkar and Vinita Dharkar. Its key products include fuel injection components for diesel engines, brake components, high-pressure diesel injector connectors for naval ships and high-precision instrumentation components. In FY2016-17, it registered a turnover of Rs 30 crore.
Precision Camshafts has foundries and machine shops located at Solapur in Maharashtra. The company supplies camshafts to Ford Motors, General Motors, Toyota, Maruti Suzuki, Hyundai, Daimler and Porsche.
Precision Camshafts got listed in February 2016. The company raised about Rs 410 crore through the initial public offering.
In FY2016-17, the company’s made revenues of Rs 475.6 crore and a net profit of Rs 66.58 crore.