SMIL inks JV pact with Magneti Marelli for shock absorbers biz

Auto components maker Samvardhana Motherson International Ltd (SMIL) has inked a 50:50 joint venture pact with Italy's Magneti Marelli Spa to enter the automotive shock absorbers segment in the Indian market.

SMIL will enter the JV through the acquisition of 50 per cent stake in Magneti Marelli Shock Absorbers India Pvt Ltd, the Italian firm's arm in India, SMIL said in a statement.

The JV will leverage Magneti's manufacturing facility in Chakan, Pune, with state-of-the-art product and automation technology, it added.

"It further strengthens our relationship with Magneti Marelli, our partner since 2008. In line with our philosophy of increasing content per vehicle, this JV adds a new product line – shock absorbers, to our portfolio," Samvardhana Motherson Group Chairman V C Sehgal said.

SMIL and Magneti have a JV in India for lighting systems, air intake manifolds and pedal assemblies since 2008.

"This new JV is the most appropriate way of maximising the Magneti Marelli's investment in the shock absorbers sector in India. The partnership will accelerate the process to become a leader in the shock absorbers Indian market and also a supply source for clients on a global scale," Magneti Marelli Spa CEO Eugenio Razelli said.

SMIL is the principal holding company of the Samvardhana Motherson Group (SMG) while Magneti Marelli is part of Fiat Spa.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • Banks must learn from past mistakes to promote financial inclusion

    Prime minister Narendra Modi launched a massive financial inclusion programme yesterday titled “pradhan mantri jan dhan yojana’ (PMJDY), that will

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Tushar Gandhi

Could prohibition mean profiteering?

In the mid 1930s, an American journalist asked Bapu if ...

Zehra Naqvi

The five universal languages of love

Love is a universal language. Don’t we all believe that? ...

Dharmendra Khandal

Time to protect our endangered wildlife species

After 65 million years of existence, the earth’s biodiversity is ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture