Suprajit Engineering Forms Joint Venture with Chuo Spring for Transmission Cables

28 Nov 2024 , 01:17 AM

Suprajit Engineering Ltd (SEL) shares were up 4.6% on November 27 following the announcement of an MoU and TA signed by the company with Japan-based Chuo Spring Company Ltd, a leading manufacturer of transmission cables.
Both of the companies will also sign a 50:50 joint venture in India, which will be dealing in designing, manufacturing, and supplying of transmission cables.
Under the TA agreement, the joint venture will get access to Chuo Spring’s Japanese proprietary transmission cable technology. The JV will primarily serve India’s two major Japanese PV original equipment manufacturers. The partnership will help Suprajit Engineering add new products to its portfolio and further consolidate its position in the automotive cable market while supporting global OEM customers.
Suprajit Engineering Ltd, India’s largest cable and halogen bulb manufacturer has a global capacity of producing 400 million cables and 110 million halogen bulbs each year.
Suprajit’s customer base consists of major global automotive companies. This company is present in four continents. Chuo Spring operates in the US, China, Indonesia, and Thailand, with a consolidated revenue of $675 million. Suprajit Engineering expects double-digit revenue growth in FY 2024-25, led by a strong domestic market performance.