Coimbatore-based automotive components manufacturer Pricol Ltd has agreed to acquire the wiping systems business of Ashok Piramal group’s PMP Auto Components Pvt. Ltd.
The acquisition will help the company diversify its product offerings and provide access to manufacturing facilities in Europe and North America where it doesn’t have a footprint, Pricol said in a stock-exchange filing. It didn’t disclose the deal value.
PMP Auto had acquired this business in 2008 from Canadian auto components company Magna International.
The target entity has manufacturing facilities in Czech Republic, Mexico and India. It has turnover of around Rs 250 crore. It supplies products to global automotive companies including Volkswagen, Daimler, Tata Motors, Fiat and Audi.
Pricol was earlier known as Premier Instruments & Controls Ltd and was established in 1972. It makes automotive components like dashboard instrument, speedometer cables, oil pumps, disc brakes, sensors, oil pumps, industrial gauges and vehicle security systems.
The company has struck a couple of other M&A deals in recent years. In June 2016, Pricol sold its entire stake in wholly owned non-banking financial company Integral Investments Ltd for Rs 2.78 crore.
In March 2015, Pricol sold its 49% stake in DENSO Pricol India Pvt Ltd to Japanese partner Denso Corporation for Rs 20 crore.
Pricol posted consolidated revenue of Rs 1481.5 crore and profit before tax of Rs 25.7 crore for 2016-17.