Tata AutoComp To Buy Stakes From ASAL

By By: Vicky.in

Published: Monday, December 6, 2010, 12:24 [IST]

Tata AutoComp systems (Taco) is all set to acquire 37.5% stakes from a Spanish based Gestamp Servicios group called the Automotive Stampings and Assemblies Ltd (ASAL) for around Rs 34 crore. This is in addition to the earlier procurement with the firm worth 38,24,453 shares at Rs 89.50/ per share and will envisage ASAL becoming a subsidiary of Tata AutoComp with 75% share hold.

The executive director and CEO of TACO R S Thakur, said the move comes in the wake of great demand for the products and services in the auto sector which will be fed by ASAL. According to Thakur, the agreement will create new business promotions in the stamping sector to collective growth.

As a result, Gestamp will withdraw from the ASAL promotion activities and Tata AutoComp will here after concentrate on chosen product lines and business promotion.

Tata AutoComp systems has been divesting its stakes and as well as rationalizing its portfolio in seven of its business units. With this acquisition, Tata AutoComp will not only have five subsidiaries but also an additional six joint ventures with leading auto industry majors.

Article Published On: Monday, December 6, 2010, 12:17 [IST]

Read more on: #auto news #automobile #cars

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