Bharat Forge subsidiary J S Auto to acquire ISML’s SEZ unit in Erode

Bharat Forge said that its step-down subsidiary J S Auto Cast Foundry India has entered into a business transfer agreement to acquire an SEZ unit in SIPCOT, Erode from Indo Shell Mould Limited (ISML).

The financial terms of the deal were not disclosed.

The SEZ unit to be acquired has a capacity of 42,000 MTPA and it supplies fully machined critical castings to automotive industry customers. It will operate as the third manufacturing unit of JS Auto to increase its capacity to 1,42,000 MTPA.

According to Bharat Forge, the acquisition bolsters the footprint of JS Auto in the castings sector and broadens its product offering and client base. Besides, it improves its footprint in the manufacturing landscape in India.

The closing of the deal is contingent on customary conditions and regulatory approvals.