Ask Automotive will have 51% of the equity of the joint venture to be set up with Aisin Asia (Thailand) Company and Aisin Automotive Haryana.
24 Apr 2024 | 10658 Views | By Autocar Professional Bureau
The Board of directors of ASK Automotive has today their approval for entering into a joint venture with Aisin Asia (Thailand) Company and Aisin Automotive Haryana for marketing and selling of independent aftermarket parts for passenger cars, through a joint venture company, which will be incorporated after execution of a ...
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The Board of directors of ASK Automotive has today their approval for entering into a joint venture with Aisin Asia (Thailand) Company and Aisin Automotive Haryana for marketing and selling of independent aftermarket parts for passenger cars, through a joint venture company, which will be incorporated after execution of a JV agreement.
ASK Automotive will own 51% of the shareholding in the joint venture company and will infuse funds up to Rs 10,71,00,000, in one or more traches. The proposed JV company will be the subsidiary of the company. The remaining 49% will be owned by the AISIN Group of Companies.
With this strategic collaboration, both companies plan to expand their footprint across India, Nepal, Sri Lanka and Bangladesh for the independent aftermarket (IAM) of passenger car products. They will leverage ASK Automotive’s distribution network strength and AISIN Group Companies’ product excellence.
Speaking on the joint venture, Kuldip Singh Rathee, CMD, ASK Automotive, said: “This joint venture will enable us to leverage our collective expertise and resources to serve the four-wheeler passenger car segment in the domestic and international aftermarket. This Venture will capitalize on the ASK and AISIN brands, providing a diverse portfolio to cater to evolving market demands.”
Yasuhiro Nakamura, president of Aisin Asia (Thailand), said, "We envision our joint venture with our esteemed partner ASK Automotive not just as a collaboration, but as a convergence of expertise, culture, and innovation. Together, we journey toward success, shaping the future of the Indian automotive aftermarket sector to contribute to a safe and secure car life in India.”
ASK Automotive is the largest manufacturer of brake shoes and advanced braking systems for two-wheelers in India with an around 50% market share in OEMs. The company offers powertrain-agnostic products in both automotive and non-automotive segments with a focus on EV and exports. The company has diversified its operations and offers products under advanced braking systems, aluminium light weighting precision solutions, and safety control cables business segments, with three technical collaborations and one joint venture with a leading global player.
ASK Automotive has strategically located manufacturing facilities located in close proximity to the customers in India and is backed by strong in-house R&D, and an engineering and design centre.