PMP Auto sells its wiping systems business; deal includes a plant in Puebla
India-based automotive components manufacturer Pricol Ltd has agreed to acquire the wiping systems business of PMP Auto Components Pvt. Ltd. for an undisclosed amount. The operation includes a manufacturing facility in Puebla, Mexico.
The acquisition will help Pricol diversify its product portfolio and access to manufacturing facilities in Europe and North America where it doesn’t have a footprint, the company said in a stock-exchange filing.
“This will enable Pricol to also manufacture its current product portfolio in these new geographies. With this acquisition, Pricol will increase its presence with the passenger vehicles manufacturers, thereby opening up future cross-selling opportunities,” said the statement.
PMP Auto had acquired this business in 2008 from Canadian auto components company Magna International.
The target entity has manufacturing facilities in Czech Republic, Mexico and India. It supplies products to global automotive companies including Volkswagen, Daimler, Tata Motors, Fiat and Audi.
The Mexican facility is located in Cuautlancingo, Puebla, where PMP manufactures and assembles wiper systems for auto plants located in Mexico and overseas.
Both the parties are working towards “executing definitive documentation and closure of this deal shortly”, the filing said further.