Motherson Sumi gains on order win from Daimler

The stock was up 5% at Rs 488 on the NSE in early morning trade.

Shares of Motherson Sumi Systems surged 5% at Rs 488 on the NSE in early morning trade after the company said it has received its biggest ever order from the Germany car maker Daimler for an disclosed amount.

“The company through its subsidiary Samvardhana Motherson Automotive Systems Group BV has received a significant set of orders for the supply of a range of exterior and interior systems for several future Mercedes-Benz vehicle generations,” Motherson Sumi Systems (MSSL) said in a statement.

The company estimates these orders to generate sales revenues of approximately Rs 15,400 crore (Euro 2.2 billion approx.) over its lifetime and expected to commence from calendar year 2018, it added.

Mr. Vivek Chaand Sehgal, Chairman (MSSL) said “While we can’t give any specific details about these orders. But we can state that the preparatory work for the establishment of the two new plants has already begun. We are eager to start producing products matching Motherson’s global quality in these two plants.”

The stock opened at Rs 490 and touched a high of Rs 498 on the NSE. A combined around 500,000 shares changed hands on the counter till 0920 hours on the NSE and BSE.