Auto component major Motherson Sumi Systems Ltd (MSSL) has completed $65.7-million deal for acquiring wiring harness business of US-based Stoneridge Inc.
Commenting on the development Samvardhana Motherson group chairman VC Sehgal said: "This acquisition reaffirms our commitment to our customers and reiterates our vision of being a globally preferred solutions provider."
The business has strong synergies with MSSL's existing business, products, customer segments and operations, he added.
The acquisition includes six manufacturing facilities located in Portland, Indiana (USA); Chihuahua, Saltillo, Mexico and Monclova in Mexico; as well as an engineering and administrative centre located in Warren, Ohio (USA).
"The addition of these manufacturing facilities would enable MSSL to service the growing requirement of the customers in the region. With this acquisition, MSSL now has over 45 plants related to wiring harness business," the company said in a statement.
The current revenue of acquired business is around $300 million, it added.
Stoneridge's wiring business designs and manufactures wiring harness products for sale principally to commercial, agricultural and off-highway vehicle markets.
On May 27, MSSL had signed an agreement to acquire the Wiring Harness business of Stoneridge Inc through asset purchase at consideration of $65.7 million on a no-cash-no -debt basis
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