Lumax Auto to acquire remaining 25% stake in IAC India for Rs 221 cr

LATL will acquire full control of IAC India by 31 May for Rs 221 crore, strengthening its position in EV interiors and aiming for post-merger synergies and growth

Auto component supplier Lumax Auto Technologies (LATL) has signed an agreement to acquire the remaining 25 per cent stake in IAC International Automotive India from the International Automotive Components Group (IAC Group) for Rs 221 crore.

 

Following this transaction, IAC India will become a wholly owned subsidiary of LATL. The deal is expected to close by 31 May 2025, subject to customary closing conditions. LATL had previously acquired a 75 per cent stake in the company in March 2023.

 

The IAC Group will continue to provide technology support to IAC India under a technical assistance agreement.

 

IAC India supplies plastic interior systems and components to major automotive OEMs in India, including Mahindra, Maruti Suzuki, Volkswagen, and Volvo Eicher Commercial Vehicles. It is also the exclusive supplier of integrated cockpits and door panels for Mahindra’s new battery electric vehicle (BEV) models, the BE6 and XEV 9e.

 

The company operates five manufacturing facilities in Chakan, Manesar, Nashik, and Bangalore. It also has an engineering centre in Pune with over 330 engineers and designers supporting product design, development, programme management, and tooling for both domestic and international customers.

 

LATL is considering a merger of IAC India with itself to unlock operational synergies, subject to regulatory and legal approvals.

 

LATL Chairman Deepak Jain said the acquisition fits into the company’s broader strategy to scale its capabilities across lighting, plastics, and interiors, while also expanding its presence on electric vehicle platforms. Managing Director Anmol Jain noted that the full integration would support cost optimisation and create financial flexibility for future acquisitions.

 

KPMG Corporate Finance acted as the exclusive financial advisor for the transaction, while Cyril Amarchand Mangaldas served as legal advisor to LATL.

 

Lumax Auto Technologies, part of the Lumax-DK Jain Group, manufactures a wide range of automotive components including advanced plastics, gear shifters, mechatronics, and lighting systems. It operates 28 plants across India and supplies to clients including Bajaj Auto, Honda, Mahindra & Mahindra, Maruti Suzuki, Tata Motors, and Toyota.