The company has acquired 51 per cent for $7.65 million. | |
| Autoline Industries Ltd "" manufacturer of sheet metal components for automobiles has signed a memorandum of understanding with Troy, Michigan (US)-based Detroit Engineered Products Inc (DEP) to acquire 51 per cent stake in the latter for a consideration of $7. 65 million comprising $2.4 million cash and the rest in shares. |
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| The $3 million (2006) DEP is an advanced engineering software development and engineering services company providing automotives and aerospace industries both consulting services and mechanical design software products. |
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| It will be renamed Autoline DEP Inc after acquisition of a majority stake by Autoline. The deal will also bring into Autoline's fold Nuvent Technologies "" DEP's wholly-owned Indian subsidiary based in Chennai. Autoline DEP will hold about 5 per cent stake in Autoline. |
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| Autoline Chairman Gopal Patwardhan told reporters here that the company will now be able to leverage the computer-aided engineering capabilities of DEP to pitch with clients in the automobile industry in India and abroad for tooling design and also tooling manufacturing business. |
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| "We will utilise DEP's present customer base which includes major automobile makers in the US, Japan and Korea to get an immediate footprint in these markets," he added |
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| Autoline also has a wholly-owned subsidiary Autoline Dimensions which is in the engineering services space. "The three entities will together offer the customer a spectrum of design, development and manufacturing of components," Patwardhan said. |
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| The coming together of Autoline and DEP will also accelerate DEP's software development for other industry verticals like aerospace, heavy machinery and consumer goods, he added. |
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