Shriram Pistons & Rings Limited (SPRL), a prominent player in India’s auto component manufacturing industry, has declared the acquisition of TGPEL Precision Engineering Limited, previously known as Timex Group Precision Engineering Limited.
The acquisition, with a valuation of INR 2,200 million on a debt-free, cash-free basis, is to be carried out by SPRL’s wholly owned subsidiary, SPR Engenious Limited (SEL), and is anticipated to be finalized by December 2024, pending customary approvals and conditions.
TGPEL stands out as a leading producer of precision moulds and injection-moulded parts, catering to sectors like automotive, electrical, consumer goods, and medical, and boasts a robust footprint in both the domestic and global markets.
Founded in 2008, TGPEL runs two advanced manufacturing facilities in Noida, Uttar Pradesh. The firm’s proficiency in high-tech precision mold development, internal tool production, and injection-molded components for OEMs is set to enhance SPRL’s current capabilities.
Krishnakumar Srinivasan, MD & CEO of SPRL, highlighted the strategic importance of this acquisition, stating, ‘With this investment, SPRL aims to expand its product portfolio beyond pistons, rings, engine valves, and electric powertrain components into precision plastic injection moulded parts. TGPEL’s advanced mould development capabilities and manufacturing setup will enable us to cater to domestic and global customers requiring precision moulded parts for automotive and industrial applications.’
He further emphasised the potential synergies between SPRL and TGPEL, noting that SPRL’s engineering prowess and strong customer base will enhance TGPEL’s ability to offer a wider range of products and services, thereby strengthening its position in the high-precision injection moulding market. ‘This acquisition combines technology-driven manufacturing teams, united in their pursuit of excellence to deliver world-class products, benefiting customers and creating long-term value for all stakeholders,’ Srinivasan added.
TGPEL’s financial strength and consistent year-on-year growth are expected to contribute positively to SPRL’s consolidated financials. This acquisition marks SPRL’s third strategic deal in recent months, following its majority stake acquisitions in SPR EMF Innovations Private Limited, an EV motor and controller manufacturer based in Tamil Nadu, and SPR Takahata Precision India Private Limited, a precision moulding and automated assembly specialist in Rajasthan.
Through these strategic investments, SPRL is positioning itself as a comprehensive solutions provider in the evolving automotive and industrial markets, reinforcing its commitment to innovation, customer satisfaction, and long-term growth.