INDIA BUSINESS WORLD - MAY - JUNE 2007
The Month that was ...

MINDA GROUP IN JOINT VENTURE WITH FRANCE'S VALEO

A K Minda Group, which makes auto components, has entered into a joint venture with French component major Valeo for manufacturing security systems for cars. Both the partners expect to invest about Rs 75-80 crore in the next three years in the 50: 50 joint venture.

A K Minda Group chairman Ashok Minda said, "We expect the joint venture to clock about Rs 300 crore in the next three years. We hope exports to contribute about 20-25% to the total revenues."The group's consolidated revenues currently stand at Rs 300 crore.

The joint venture - Minda Valeo Security Systems - would operate out of the group's manufacturing facility in Pune. The JV company plans to integrate its security products with Minda Group's current security systems business.The company will largely cater to the domestic market. Minda Valeo is currently in talks with various four-wheeler manufacturers to supply its auto security products, which includes locks, electronic security systems and engine immobilisers.

France's Valeo is a $10-billion company with interests in varied automobile component manufacturing such as lighting, security systems, climate control system and transmission systems.

Its auto security business contributed $676 million to Valeo's topline in the previous fiscal. The company has 131 production facilities located in 29 countries.