Auto component major Bharat Forge on Thursday said it will acquire JS Autocast Foundry India.
The company, along with its subsidiary, BF Industrial Solutions, has entered into a definitive agreement to acquire JS Autocast Foundry India (JS Auto), the company said in a statement.
Established in 2004, JS Auto is a leading and preferred supplier of machined ductile iron castings for wind, hydraulic, off-highway and automotive applications. Over the past five years, JS Auto sales have grown at a CAGR of 17.7 per cent.
The company registered sales of Rs 259 crore in FY21.
"We are delighted to welcome the JS Auto team to Bharat Forge family and will look to leverage their capabilities, highly talented technical team and a strong customer connect to aggressively grow our presence in the industrial casting space," Bharat Forge Deputy Managing Director Amit Kalyani said.
JS Auto will accelerate the company's diversification journey and enable in addressing the decarbonisation opportunity, he added.
Bharat Forge said it will acquire JS Auto for an upfront consideration (based on enterprise valuation adjustments) plus fixed deferred payment at the end of the third year.