Samvardhana Motherson share price rose over 3 per cent in intraday trade on the BSE on Friday, August 29, looking set to snap its six-session losing streak, after the company revealed latest acquisition updates. Samvardhana Motherson’s shares opened at ₹92.85 against its previous close of ₹92.09 and rose more than 3 per cent to hit an intraday high of ₹95. Around 12 PM, the stock traded 2.2 per cent up at ₹94.11.
Samvardhana Motherson International acquisition updates
Through an exchange filing on August 29, Samvardhana Motherson said its board had approved to acquire as much as 81 per cent stakes with voting rights in Yutaka Giken Co., Ltd. and an 11 per cent stake in Shinnichi Kogyo Co., Ltd. through its indirect wholly-owned subsidiary, Motherson Global Investments B.V.
Yutaka Giken is a Japanese company and is listed on the Tokyo Stock Exchange, and Shinnichi is a subsidiary of Yutaka Giken with 62 per cent ownership by Yutaka Giken.
The company further said it will acquire 100 per cent of the shares and voting rights in Yutaka Autoparts India Private Limited from Yutaka Giken directly or through its wholly-owned subsidiary.
Meanwhile, Honda Motor Co., Ltd. currently owns a 69.66 per cent stake in Yutaka Giken, and the rest is owned by the public. After Motherson’s acquisition of an 81 per cent stake, Honda will continue to own the remaining 19 per cent voting rights shares in Yutaka Giken.
(This is a developing story. Please check back for fresh updates.)
