Temasek seeks to acquire minority stake in Nash Industries for $120-150 mn

Industry:    2 months ago

Singapore’s state-owned investor Temasek Holdings is in talks to acquire a minority stake in auto components maker Nash Industries, which is seeking to raise $120-150 million from private equity investors, reported Mint, citing three sources close to the development.

“Auto components and precision engineering are high-growth segments and Temasek is betting big on them,” a source told the publication.

According to media reports, private equity firms like EQT AB, Kedaara Capital, Carlyle Group, and ChrysCapital are also in the fray to pick up a stake in Nash.

Meanwhile, Avendus Capital has reportedly been appointed an adviser by the founders of Nash Industries to manage the stake sale proposal.

However, details of the proposed sale remain unclear, with reports placing the deal value between $120 million and $200 million.

Nash Industries

Founded in 1971 and run by Sanjay and Sandeep Wadhwa, Bengaluru-headquartered Nash Industries is a contract manufacturing and engineering-solutions provider with 11 manufacturing plants spread across Bengaluru, Pune and Chennai.

Crisil data shows the company posted an operating income of ₹1,235 crore in the financial year 2023-24 (FY24), up from 1,116 crore the year before, while net profit slipped to about ₹77 crore from ₹94 crore. The firm, valued roughly at around $240 million, expanded into clean energy last year when its subsidiary Nash Energy launched a 600-megawatt lithium iron phosphate cell production unit in Bengaluru.

Engineering solutions investments

The demand for precision engineering services is rising in India, drawing significant investor interest. Recently, Tessolve, a semiconductor engineering company majority-owned by Hero Electronix, raised $150 million from alternative asset manager TPG.

 

Earlier this month, ILJIN Electronics India, a subsidiary of Amber Group, announced ₹1,200 crore in funding from ChrysCapital and InCred Growth Partners Fund, reported Moneycontrol.

 

In January, Bain Capital invested in Aurangabad-based auto component maker Dhoot Transmission, following its November 2024 strategic partnership with RSB Transmissions, a global supplier of automotive, construction, and off-highway equipment systems, according to Mint.
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