Motherson Sumi Systems, a maker of auto components, is open to exploring other acquisitions and is currently in discussions with several potential takeover firms.
Motherson Sumi Chairman Vivekchaand Sehgal wrote to shareholders in the Annual Report. He also stated that acquisitions must be profitable for customers and allow the company to reach its revenue and ROCE (return of capital employed) goals simultaneously.
“We bought a majority stake at Plast Met Group, which is based in Turkey. We also entered a new country with this acquisition. We are still in discussions with potential takeover companies. He stated that we are in a strong place to make acquisitions in volatile environments.”
The Chairman stated, “We won’t make acquisitions to only achieve our top-line objectives.”
He stated that Motherson Sumi’s Vision 2025 target of $36 Billion with 40% ROCE is ambitious.
It will take closer teamwork, intense sharing, and a spirit for growing together to achieve it, he stated. He also said that Motherson Sumi is expanding into new territories, entering new markets and taking on new clients.
He stated that, despite the pandemics, the company’s organic development is strong, with the highest quarterly revenues ever at Rs 17,923 crore for Q3.
“Our worldwide order book is strong and growing. He stated that our operating cash flows are strong and that, as of March 31, 2021 net debt was at its lowest level in 17 quarters.