Samvardhana Motherson expands global reach with 95% acquisition of Atsumitec
Samvardhana Motherson International Limited (SAMIL) announced on December 6, 2024, its plan to acquire a 95 per cent stake in Atsumitec Co., Ltd., a Japanese manufacturer of high-precision automotive components. The acquisition, valued at approximately JPY 8.5 billion (USD 57 million), will be executed through SAMIL’s 100 per cent subsidiary, Samvardhana Motherson Automotive Systems Group B.V. (SMRP B.V.). Honda Motor will retain the remaining 5 per cent stake.
The shares of Samvardhana Motherson International Limited (SAMIL) were trading at ₹168.35 up by ₹1.35 or 0.81 per cent on the NSE today at 1.50 pm.
The transaction, which is subject to regulatory approvals, will be completed in multiple phases. The initial steps include procuring shares from existing shareholders, with SAMIL expected to hold a majority stake by Q4FY25. The final consolidation is slated for completion by Q1FY26. The acquisition is part of SAMIL’s strategic efforts to expand its global footprint, diversify its product portfolio, and strengthen ties with Japanese original equipment manufacturers (OEMs).
Atsumitec, established in 1949 and headquartered in Hamamatsu, Japan, specializes in producing chassis and transmission components for two-wheelers and four-wheelers. With nine facilities across seven countries, the company reported a turnover of JPY 62 billion (USD 412 million) in FY2023-24. The acquisition aligns with SAMIL’s 3CX strategy, focusing on customer, component, and country diversification.
“This acquisition is to enhance their global machining capabilities and create opportunities for cross-selling within their existing product lines. It also highlighted Atsumitec’s strong customer base, which includes major Japanese automotive manufacturers such as Honda, Toyota, and Suzuki.
