Turnaround investor Wilbur Ross-owned IAC Group, a supplier of vehicle interior components and systems, has acquired the automotive assets of New Delhi-based Multivac India Private Limited.
Multivac supplies vehicle headliners, instrument panels, interior trim and door panels to firms such as Volkswagen, Maruti Suzuki, Volvo, Mahindra & Mahindra and others. The current manufacturing operation was established in 2005 and employs approximately 135 production and engineering personnel. The deal will expand IAC's footprint into northern automotive region in the New Delhi area.
The location will also allow IAC to expand its design and engineering capabilities to support the new product development activities by major OEMs. IAC already has a regional engineering centre in Pune and a manufacturing facility in nearby Chakan.
Wilbur Ross' investments in India include textile firm OCM India, which it bought from ARCIL, and low cost airline SpiceJet (which was acquired by Kalanithi Maran last year).
"IAC has experienced success through organic growth in India since we first established manufacturing and engineering operations in the western automotive hub of Pune, Maharashtra in 2008," said James Kamsickas, president and CEO, IAC North America and Asia. "This
acquisition builds on that momentum by extending our footprint into the growing north India automotive region, further expanding our product portfolio and supporting our global customers' needs for experienced interiors manufacturing and engineering in the region."
"This acquisition underscores IAC leadership's commitment to selectively expand its global footprint to take advantage of growing vehicle demand in emerging markets such as India," said Wilbur Ross, Chairman of IAC Group.
The Multivac acquisition follows a host of acquisitions by IAC from 2006 to 2010. According to a Bloomberg report, IAC took over assets of 12 insolvent suppliers in 2009 which added more than $100 million in sales. IAC had 2009 sales were about $3.2 billion.
In November 2010, IAC announced the acquisition of vehicle interiors supplier, AMPRO Molding LLC, located in Anniston, Ala. In February 2010, the company acquired flooring & acoustics supplier Stankiewicz International Corp., located in Spartanburg, S.C.