Motherson Sumi acquires PKC Group

Motherson Sumi has acquired Finland-based PKC Group for Euro 571 million in its bid to drive inorganic growth. Having the potential to add value to the company’s bottomline in the medium-term, courtesy the incremental product portfolio, scalability of business and a successful track record of turning around its acquisitions, Motherson Sumi’s acquisition of PKC Group aligns well with its specialisation of manufacturing wiring harnesses among other automotive products. PKC supplies wiring harness, and electronic and electric components, to locomotive and CV manufacturers in Europe and USA. PKC has a 62 per cent and 43 per cent market share in the US and European heavy truck markets respectively. Also present in Brazil and China, PKC Group, last year announced its intention to enter the Indian market. The acquisition by Motherson Sumi will make it easier for the Group to make it to India in an effort to address the needs of its global CV and locomotive customers who have set-up businesses in India.