Samvardhana Motherson Automotive Systems Group BV (SMRPBV) on Sunday said it has inked a pact to acquire Germany-based SAS Autosystemtechnik GmbH at an enterprise value of 540 million euros (around Rs 4,789 crore). The company, a unit of Samvardhana Motherson International Ltd (SAMIL), has entered into an agreement with FORVIA Group firm Faurecia to acquire SAS Autosystemtechnik.
“The enterprise value of the business is Euro 540 million and the transaction will be funded by a mix of debt and internal accruals,” SMRPBV said in a statement.
The transaction remains subject to information or consultation with employee representatives, it added.
Completion of the envisaged transaction will be subject to customary regulatory approvals and is expected by the second quarter of FY24, the company said.
“We have always added new products and technologies to closely serve our customers in a more cohesive way. The acquisition of SAS is an important step in this direction,” Motherson Chairman Vivek Chaand Sehgal noted.
With this acquisition, the company will be even more diversified in the customer base and products, he added.
“This acquisition will transform Motherson Group to be a leading assembler of cockpits modules globally, with a special focus on EV models. We look forward to welcoming over 5,000 new members into the Motherson family,” Sehgal said.
SAS offers assembly and testing solutions across the automotive value chain. It has 24 facilities across 12 countries (Argentina, Brazil, China, Czech Republic, France, Germany, Mexico, Portugal, Slovakia, Spain, Turkey, and the US).
The company’s gross revenues on a principal basis were Euro 4.4 billion and net revenue (IFRS) of Euro 896 million for the year ended 31st Dec 2022.