Talbros Automotive Components Secures Major Contract Worth Rs. 1,000 Crore from Europe

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Talbros Automotive Components is pleased to announce that its Joint Venture Company, Marelli Talbros Chassis Systems (MTCS), has secured a substantial multi-year contract from a prominent European OEM. This contract is valued at a significant Rs. 1,000 crore and is anticipated to be completed over the course of 8 years, commencing in Q4FY25.

The contract entails the provision of Suspension Arms tailored for both conventional Internal Combustion Engine (ICE) vehicles and modern Electric Vehicle (EV) platforms for the EMEA and NAFTA regions. Manufacturing for this project will occur at the Pune plant of MTCS, necessitating an investment of approximately Rs. 65 crore in FY25. It is important to note that these investments will be financed through a combination of internal accruals and debt.

This noteworthy achievement represents a major milestone for the TACL group, as it signifies the acquisition of a new customer in Europe, a highly specialized market for automotive components. Not only does this further solidify the company’s presence in Europe, but it also opens doors to new opportunities with both existing and new OEMs in the region.

In the previous year, the company secured orders totaling around Rs. 980 crore encompassing a diverse range of product segments in standalone and JV company operations. Notably, a substantial portion of these orders, approximately Rs. 475 crore, were attributed to the supply for the EV segment, highlighting the company’s dedication to sustainability and innovation. Furthermore, export-related orders accounted for approximately Rs. 415 crore, underscoring the company’s robust global footprint.

With the added momentum from its successful order wins in FY24, Talbros Automotive Components is positioned for consistent business growth and profitability in the foreseeable future.

Source: Capital Market – Live News

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