Pune-based auto parts maker Bharat Forge Ltd on Friday said it along with subsidiary BF Industrial Solutions has successfully completed the acquisition of Coimbatore-based JS Autocast Foundry India Private Limited.
The deal to acquire JS Autocast, which supplies critical machined ductile castings for wind, hydraulic, off-highways and automotive applications, was announced in February.
"Bharat Forge Limited along with its subsidiary, BF Industrial Solutions Limited has successfully completed the previously announced acquisition of JS Autocast Foundry India Private Limited. The Enterprise Value of the transaction is Rs 489.63 crores," the company said in a release.
"This acquisition significantly enhances our capabilities and addressable market segments both domestically and in export markets, especially in niche industrial segments and also brings with it significant synergies that particularly strengthen Bharat Forge's positioning as a preferred 'Industrial Solutions' provider," it said.
JSA logged 59.5 per cent year-on-year growth in revenue at Rs 416.87 crore despite a challenging and volatile environment, the release said.
Recently, JSA has been granted environmental clearance to expand its existing foundry operations at SIPCOT (State Industrial Promotion Corporation of Tamil Nadu) from 21,768 tonnes per annum to 72,000 tonnes per annum, it stated.
This coupled with 28,800 TPA foundry capacity at Coimbatore, provides a significant growth platform for the company, Bharat Forge said, adding, JSA will focus on enhancing its product portfolio from current small castings to address opportunities in medium sized castings for both renewable and other industrial applications.
In the next three years, JSA will start manufacturing 'green castings' utilising 100 per cent renewable energy and raw material which is predominantly recycled scrap, it added.
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