Sandhar Technologies Acquires Sundaram-Clayton’s Aluminium Die Casting Business
In a major move towards expansion, Sandhar Technologies Limited (BSE: 541163, NSE: SANDHAR) has announced the acquisition of High Pressure and Low Pressure Aluminium Die Casting Business of Sundaram-Clayton Limited (SCL). This acquisition, valued at ₹163 crores, is executed through a Business Transfer Agreement (BTA) by Sandhar Ascast Private Limited (SAPL), a wholly owned subsidiary of Sandhar Technologies.
The deal, signed on March 26, 2025, ensures that Sandhar Ascast Private Limited will take over Sundaram-Clayton’s aluminium die-casting business at its Hosur plant. The acquisition is structured as a slump sale on a going concern basis, meaning all assets and liabilities of the target business will be transferred to SAPL.
This strategic move aligns with Sandhar Technologies’ core business in the automotive component industry, strengthening its market position by expanding into aluminium die-casting.
The completion of the acquisition is expected by March 31, 2025, subject to fulfillment of the agreed-upon conditions.
📌 Key Takeaways
✅ Acquiring Company: Sandhar Technologies Limited (through SAPL, its wholly owned subsidiary)
✅ Target Company: Sundaram-Clayton Limited’s High & Low Pressure Aluminium Die Casting Business
✅ Acquisition Date: March 26, 2025
✅ Deal Type: Slump sale on a going concern basis
✅ Acquisition Value: ₹163 Crores (subject to adjustments)
✅ Location of Business: Hosur Plant, Tamil Nadu, India
✅ Industry: Auto Component Manufacturing
✅ Impact on Sandhar Technologies:
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Strengthens position in aluminium die-casting
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Expands business operations of SAPL
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Enhances manufacturing capabilities
📅 Expected Completion: By March 31, 2025
📈 Impact on Share Market
📊 This acquisition is expected to have a positive impact on Sandhar Technologies’ stock performance due to the following reasons:
📌 Increased Revenue Potential: The integration of Sundaram-Clayton’s die-casting unit will boost overall revenue and profitability.
📌 Market Expansion: Strengthening of Sandhar Technologies in the auto component manufacturing sector may attract more investors.
📌 Stock Volatility: In the short term, stock prices may witness fluctuations due to investor reactions to the deal announcement.
📌 Long-term Growth: The expansion aligns with the company’s core business, indicating stable long-term gains.
🏢 About Sandhar Technologies Limited
🔹 Founded: 1987
🔹 Headquarters: Gurugram, Haryana, India
🔹 Industry: Automotive Component Manufacturing
🔹 Stock Listings:
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BSE: 541163
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NSE: SANDHAR
🔹 Business Focus: Specializes in manufacturing safety and security systems, aluminium die-casting, vision systems, and sheet metal components.
🌍 Website: www.sandhargroup.com
💡 A strategic leap for Sandhar Technologies! Will this acquisition drive its stock price to new heights? Share your thoughts below!🚀💬
📉 Stock Market Disclaimer
Disclaimer: This post is for informational and educational purposes only and does not constitute financial advice or a recommendation to buy/sell any stock or share. Investing in the stock market involves risk. Past performance is not indicative of future results. Always conduct your own research or consult a licensed financial advisor before making investment decisions.
