'Chinese EV Makers Not As Visible At Munich Auto Show': Warren Harris of Tata Technologies
The Munich Auto Show is an important platform for auto and tech experts to gauge the pulse of the industry,
The Munich Auto Show this year saw a reversal in scenario from previous years with Chinese EV makers being conspicuous by their lack of visibility.
Speaking to NDTV Profit, Managing Director and CEO of Tata Technologies Warren Harris said, ‘’Chinese EV makers were not as visible this time at the Munich Auto Show," adding that the ‘’sentiment from European OEMs was far more positive than I expected."
The Munich Auto Show is an important platform for auto and tech experts to gauge the pulse of the industry, especially in light of the growing focus on electric vehicles. The 2025 edition was held from September 9 to 14.
Over the past couple of years, Chinese electric vehicle makers have dominated the headlines at Munich. However, comments from industry participants like Tata Technologies on this year's show could be a key positive for all ER&D companies that have these carmakers as clients.
Tata Technologies is in focus after announcing a €75 million acquisition, which is expected to be completed by December. Tata Tech will acquire ES-Tec GmbH, which is into high end automotive engineering services. ES-Tec has deep know-how in ADAS, connected driving, and digital engineering. The company generated revenue €36 million revenue in 2024. They have over 300 employees and the management expects acquisition to be EPS accretive from Day 1. ES-Tec Group’s presence in Germany will strengthen Tata Tech’s growing footprint in the region, the company said in their press release.
ES-Tec's revenue for the last three years for the period ended December 31 stood at €24.7 million in CY22, €30.6 million at the end of CY23 and €36.1 million in CY24.
Commenting on the acquisition, JP Morgan said it would add 2% to FY26 revenues and 5% to FY27 revenues. The firm said the acquisition would give Tata Tech access to the German market as well as the Volkswagen account. JP Morgan maintained an 'underweight' rating with a target price of Rs. 570 per share.
