Motherson acquires Rollon Hydraulics to strengthen its machining business
The enterprise is valued at INR 76.5 crore as of 31st March 2023, and the deal is set on a cash transaction basis.
Noida- Samvardhana Motherson International Limited (SAMIL)., has signed with Rollon Hydraulics Private Limited to acquire 100% stake. Rollon is engaged in manufacturing, assembly and supply of high precision turned parts, spools, and other machined components with critical engineering applications for the Agriculture and OffHighway segment from its two facilities based out of Bengaluru (India).
The transaction will provides Motherson, access to the customer base across off-highway industry along with specialised machining, plating, surface treatment, sub-assembly capabilities and growing export market of Spools for Hydraulic Valve applications.
The enterprise is valued at INR 76.5 crore as of 31st March 2023, and the deal is set on a cash transaction basis.
Commenting of the deal, Mr Vivek Chaand Sehgal, Chairman, Motherson said, “Our focus on being a solutions provider to our customers has been a driving force for this acquisition. We are getting access to a new industry segment of construction and material handling for our precision metal business. We believe this business is highly synergistic with Motherson’s existing business and offers ample opportunities to grow this business in India, Mexico & other geographies. This is our fifth acquisition in India in the past 12 months, reaffirming India’s importance in our future plans.”
Rollon is engaged in high-precision machining and sub-assembly of highly complex components for the off-highway segment and has a vertically integrated unit engaged in surface treatment of machined parts. The company reported revenues of ~INR 60 crores for FY23, with a healthy profitability.
Motherson through its Precision Metals & Modules business division is a leading supplier to the automotive and non-automotive industry. Its manufacturing facilities across India and Mexico for precision machining are equipped with CNC machines and customised special purpose machines, supported by surface treatment and metrological measuring facilities. The company has technology for precision machining parts with capabilities like turning, drilling, grinding, milling tools and machining etc.
