Pricol Ltd has announced that its board has approved the acquisition of the injection-moulded plastic component division from Sundaram Auto Components Ltd, a subsidiary of TVS Motor Company, for ₹215.3 crore. The transaction will be executed through Pricol’s wholly-owned subsidiary, Pricol Precision Products Private Ltd, on a slump sale basis.
The acquisition is expected to be completed by January 31, 2025, pending the fulfillment of conditions outlined in the business transfer agreement. The division, which generated ₹727.33 crore in revenue during FY24, operates within the automotive components industry.
This move is in line with Pricol’s strategy to enhance its operational capacity and expand its footprint in the auto component sector. To support the growth of Pricol Precision Products Private Ltd, the company’s board has approved an investment of up to ₹120 crore in multiple phases.
Furthermore, Pricol has committed to offering a corporate guarantee for loans up to ₹250 crore to ensure adequate financial support for the subsidiary’s expansion plans. In another strategic move, Pricol will acquire a 26% stake in PQSI Digital Private Ltd, a company specializing in Industry 4.0 solutions such as IoT and smart factory technologies. PQSI reported ₹49.77 lakh in revenue for FY24. This investment demonstrates Pricol’s dedication to embracing digital transformation in manufacturing, allowing the company to deliver comprehensive, tech-enabled solutions that improve operational efficiency and generate long-term value.
Pricol Ltd is a prominent Indian automotive components manufacturer, specializing in providing high-quality solutions for the automotive industry. Established in 1972, the company has developed a strong presence in the manufacturing of instrumentation, electrical products, and precision components for both domestic and international markets.
Pricol caters to leading OEMs (Original Equipment Manufacturers) across various segments, including two-wheelers, four-wheelers, and commercial vehicles. Over the years, Pricol has expanded its portfolio to include cutting-edge technologies, focusing on innovation and sustainability.
The company is known for its advanced manufacturing capabilities, commitment to quality, and strong emphasis on research and development. Through strategic acquisitions, investments in digital transformation, and a focus on operational efficiency, Pricol continues to strengthen its position in the competitive automotive sector.
