As part of the restructuring exercise for its international operations, Sundram Fasteners, a flagship company of the TVS Group and manufacturer of automotive and engineering components, has divested its German subsidiary - Peiner Umformtechnik and its affiliates – to a German investor (Aurora Hanse Industriekapital Beteiligungs GmbH).
“The German subsidiary has been impacted adversely since the recession of 2008 and has not been performing to the expectation of Sundram Fasteners. After a detailed review, the company has decided that the German company be divested. The divesture of the German subsidiary will go a long way in strengthening the balance sheet of Sundram Fasteners and improving shareholders’ value in the company,” said Sundram Fasteners in a press release.
Divesture of German subsidiary is a part of Sundram Fasteners’ plan to restructure its international businesses in order to maximise the revenue potential and shareholder’s value.
The company has created a new subsidiary called Sundram International Ltd, based in the UK. The Chinese company Sundram Fasteners (Zhejiang) Ltd and the UK subsidiary Cramlington Precision Forge Ltd will become subsidiaries of Sundram International Ltd. “Both these companies are profitable and have been paying consistent dividends to the parent company. The new company Sundram International Ltd will be used as a vehicle, as and when the opportunity arises, to acquire technology companies abroad,” said Sundram Fasteners in the release.
Sundram Fasteners manufactures fasteners, cold extruded and powder metal parts, radiator caps, and gear shifters.
“The German subsidiary has been impacted adversely since the recession of 2008 and has not been performing to the expectation of Sundram Fasteners. After a detailed review, the company has decided that the German company be divested. The divesture of the German subsidiary will go a long way in strengthening the balance sheet of Sundram Fasteners and improving shareholders’ value in the company,” said Sundram Fasteners in a press release.
Divesture of German subsidiary is a part of Sundram Fasteners’ plan to restructure its international businesses in order to maximise the revenue potential and shareholder’s value.
The company has created a new subsidiary called Sundram International Ltd, based in the UK. The Chinese company Sundram Fasteners (Zhejiang) Ltd and the UK subsidiary Cramlington Precision Forge Ltd will become subsidiaries of Sundram International Ltd. “Both these companies are profitable and have been paying consistent dividends to the parent company. The new company Sundram International Ltd will be used as a vehicle, as and when the opportunity arises, to acquire technology companies abroad,” said Sundram Fasteners in the release.
Sundram Fasteners manufactures fasteners, cold extruded and powder metal parts, radiator caps, and gear shifters.
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