Page 26 - IACC Newsletter June 2013 Issue 11

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US investments in India
Johnson Controls buys out Tatas from auto component in a 50:50 JV TJC
US-based auto component maker Johnson Controls recently said it has bought out its Indian partner Tata Automotive
Components from their joint venture for an undisclosed sum.
Johnson Controls has acquired full ownership of Tata Johnson Controls (TJC), a 50:50 joint venture between Tata
Automotive Components (TACO) and Johnson Controls, the company said in a statement.
The final transfer of the 50 per cent share held by TACO has taken place after completion of all formalities. Both parties
agreed not to disclose the purchase price, it said.
TJC is a supplier of automotive seat systems and components in India, serving most major original equipment
manufacturer in the market.
Commenting on the development, Johnson Controls Automotive Experience India President and Chief Executive Officer
Paul Chawla said: "India is an emerging market and part of Johnson Controls' global strategy for sustainable growth. We
are strongly committed to continue to invest in our Indian business."
The company said 11 locations across India, including an engineering center in Pune, and approximately 2,100
employees are associated with the transaction.
Johnson Controls will leverage its automotive seating, electronics and interiors businesses for its India operations, the
company said, adding it would continue to develop its engineering expertise at the new Technical Center in Pimpri.
"In addition Johnson Controls plans to expand its prototype and testing capability for the India region," it said. Johnson
Controls has operated in India since 1995.
Washington based Cartica to pick 5.6% equity in TTK Prestige for Rs 230 crore
Home appliances manufacturer TTK Prestige said global fund manager Cartica will acquire 5.6 per cent stake in the
company for around Rs 230 crore.
The company will issue on a preferential basis 3 lakh shares of Rs 10 each, amounting to about 2.6 per cent stake, at a
premium of Rs 3,540 to Cartica Capital, it said in a filing to the BSE.
The allotment is subject to shareholders and regulatory approvals, it said. "Together with 3,50,000 shares (about 3 per
cent stake) acquired from the promoters at the same price, Cartica will hold 5.6 per cent in TTK Prestige, while the
promoters will own about 70 per cent," the filing said.
"About Rs 106.50 crore raised from this preferential allotment will be used for general corporate purpose, including
retirement of debts," the company said, adding it would also enable the company for future growth.
TTK Prestige is the flagship company of 85-year-old Rs 1,385 crore TTK group. Prestige is the leading brand in pressure
cooker, cookware, induction cooktops and value added gas stoves.