UNO Minda acquires global lighting business of a Europe-based firm

Delhi-based auto component manufacturer, Minda Industries, announced a total acquisition of the global lighting business of Spain based Rinder Group that manufactures automotive lamps headlights, tail lamps and other automotive lightings, and has an enterprise value of around 20 million Euros (Rs 1,450 crore).

The acquisition includes complete control in Rinder India Pvt. Ltd. and Lighting Systems Company along with a technical centre in Spain. Minda also acquired 50 per cent equity holding in the Columbian subsidiary Rinder Riducu.

Minda Industries, which is one of the key players in automotive lighting business and part of the larger UNO Minda Group, will fund the deal through internal accruals and debts. Deloitte and BMR advised Minda on the acquisition.

Speaking to Business Today, Chairman of UNO Minda Group, N.K. Minda said, "This acquisition will establish Minda Industries as the technology leader in lighting solutions and further augment our R&D capabilities. With this acquisition, we aim to increase our lighting business turnover in excess of Rs 700 crore from the currently Rs 300 crore topline."
Rinder Group mainly operates in the premium segment of auto lighting business and carries an annual turnover of 55 million Euros (Rs 410 crore). It has its own technology and design centre in Spain that Minda Group aims to harvest to establish itself as a major player in auto lighting business.

"Our vision is to achieve 25 per cent of group turnover from international businesses. The global acquisition will ensure that we move closer to our global vision and expand the footprints overseas," N.K. Minda added.

Uno Minda founded in 1958 and operates 36 manufacturing plants across India and through joint-ventures in Japan and Italy would also get Rinder's brand & intellectual property rights as part of the deal. The integration & merger of both the brands will be finalised at a later stage, the company said in a statement.

Rinder currently operates its India plant from Chakan & Pimpri at Pune in Maharashtra as well as Bahadurgarh in Haryana. It's main Light Systems and Technical Center is located at Bilbao, Spain and Rinder Riducu's plant is situated in Colombia.