Samwardhana Motherson overseas, a manufacturer of auto components, announced that it will acquire the company of German high-end polymer parts manufacturer Dr Schneider for a total enterprise value of €118 million. This will be the company's second overseas purchase this month. Through improved product options in high-end lighting panels and air vents, the acquisition will increase Motherson's market presence in the interior plastics industry. The agreement comes after Motherson's earlier this month purchase of Honda's Yachiyo sunroof division.
Promoter Vivek Chaand Sehgal's plan to chart expansion through aggressive inorganic acquisition prospects is consistent with the transaction. The business has already purchased more than twenty local and foreign companies.
"The overall enterprise value of this transaction is approximately EUR 118.3 million subject to certain actualization. This acquisition is done at the behest of our customers. The deal is expected to be closed by Q3 of FY23-24, subject to customary closing conditions and receipt of required regulatory approvals", SAMIL said in a statement announcement the acquisition.
"Samvardhana Motherson International Limited (SAMIL) via its 100% subsidiary Samvardhana Motherson Automotive Systems Group BV (SMRPBV) has entered into an agreement to acquire assets and shares of the Dr. Schneider Group entities from the insolvency administrator, Dr. Joachim Exner. Dr. Schneider Group is a manufacturer of high-end, innovative, and integrated electronic interior polymer components and systems, such as smart surfaces and lighting modules. The company is a technology leader in air-vents, decorative interior polymer components with illumination and has strong presence in premium vehicles.
Due to an unsatisfactory operational and financial restructuring, Dr. Schneider claimed revenues of almost 472 million euros for the calendar year 2022 and filed for insolvency in September 2022.