Copyright FOURIN, Inc. 2023
Indian Auto Parts Supplier NK Minda Expands Telematics and Sensor Operations
Indian auto parts supplier NK Minda Group is continuing to diversify its business portfolio and improve value of its products. NK Minda Group’s core company is Minda Industries (MIL) and its corporate brand is “UNO Minda.” In the past, NK Minda Group has adnvaced its business with switches and horns as its main products, but in recent years it has been diversifying its operations through M&As and joint ventures with foreign companies. In addition, the company has recently begun manufacturing high-performance components such as telematics equipment and sensors, and it appears that it aims to promote these to become its future profit base.
In the telematics sector, MIL has been stepping up activities to strengthen its production and development system since the latter half of 2018. In November 2018, MIL’s board of directors approved an investment in the construction of a new factory for telematics products. In May 2019, MIL acquired the telematics-related hardware division of Indian engineering firm KPIT Technologies. In addition, in February 2020, MIL decided to merge with Minda i-Connect, a subsidiary of its telematics division.
In the sensor sector, the company started operation of its own factory in 2020, starting production of temperature sensors. In December 2019, MIL announced that it has formed a partnership with American sensor and control component manufacturer. Production of the wheel speed sensors has begun by November 2020 with the technology licensed from Sensata's Chinese subsidiary.
In the light metal sector, MIL launched a new aluminum wheel factory for motorcycles in Maharashtra state in September 2020. In addition, Minda Kosei Aluminum, a wheel production joint venture with Japan’s Kosei Aluminum Industry, has completed preparation of a new production line in the Gujarat plant by November 2020.
Looking at major M&A trends, in December 2019, MIL acquired Germany’s lighting system engineering company Delvis and made it a wholly-owned subsidiary. The acquisition is intended to strengthen MIL’s R&D of lighting products, expanding its lighting operations in the automobile sector. In the same month, MIL announced the acquisition of Indian seating manufacturer Harita Seating Systems (HSSL). After the merger, HSSL will become MIL’s new seating division.