Aurangabad-based auto component maker Varroc Group has acquired a majority 80 per cent stake in Europe's largest two-wheeler headlights and tail lights maker TriOM SPA, for an undisclosed sum.
Founded in 1969, Cambiano, Italy-based TriOM is a supplier of headlights, front and rear flashers, taillights, reflex reflectors and other accessories for two wheelers to leading global motorcycle manufacturers.
Its clients include Yamaha, Honda, Ducati and Piaggio and holds nearly 55 per cent of the market share in Europe.
TriOM has two manufacturing plants, one in Turin in Italy and the other in Romania. The company is in the process of setting up a plant in Vietnam in order to grab a market share in the ASEAN region.
Founded in 1990, Varroc Group, which has an annual turnover of Rs3,000 crore, started by supplying plastic injected moulded parts to Bajaj Auto and white goods manufacturer Videocon.
It has slowly emerged as one of the most diversified suppliers in the Indian auto component industry. Varroc supplies plastic molded modules, machined forgings and auto electrical accessories.
It has 20 manufacturing facilities in India and overseas. It has two business divisions, Varroc Engineering, which contributes 65 per cent to the group's sales and Varroc Polymer, which contributes 35 per cent.
About 70 per cent of its business comes from two and three wheeler manufacturers, including Bajaj Auto, Suzuki, Yamaha, Royal Enfield and Piaggio in India and Ducati and Harley Davidson overseas.
The acquisition will add approximately Rs106 crore to Varroc's sales, according to Varroc Group's president Vineet Sahni.