Japan’s Mitsubishi Electric Corporation has acquired Pune-based automation company Messung Group, a manufacturer of programmable logic controllers and human machine interfaces, for an undisclosed sum, the company has said in a statement today.
The acquisition will allow Mitsubishi Electric to accelerate its industrial automation systems business in India and strengthen local sales and solutions. The company is aiming at sales of Rs 1,000 crore by the fiscal year ending March 2016.
Incorporated in 1981, Messung Group manufactures programmable logic controllers, remote input/output units and text human machine interface products. The company runs 10 sales offices across the country and has a PLC/HMI factory in Pune. Currently, it has over 400 employees on board.
“Post-acquisition, the Messung Group will be merged with Mitsubishi Electric India Pvt Ltd. A business transfer agreement signed by Mitsubishi Electric and the Messung Group in December 2011 is expected to be complete by the end of March 2012 to finalise the acquisition. Operations of the consolidated business will commence in April,” the statement added.
Ambit Corporate Finance was the exclusive financial advisor to the Messung Group.
The industrial automation market in India is expected to grow by more than 10 per cent annually, driven by increasing demand across automotive, textile, pharmaceutical and food & beverage industries.
Mitsubishi Electric develops, manufactures and markets electric and electronic products in Japan and internationally. The company’s energy and electric systems segment offers a wide range of products like turbine generators, hydraulic turbine generators, nuclear power plant equipment, motors and transformers.