Lumax Auto to Gain Full Ownership of IAC India with 221 Crore INR Deal

Lumax Auto Technologies Ltd (LATL) will buy the final 25% stake in IAC International Automotive India from the International Automotive Components Group (IAC Group) for ₹221 crore. After this deal, IAC India will become a wholly owned subsidiary of LATL.

LATL had acquired 75% ownership in March 2023. This second transaction will give the company complete control. The deal is expected to close by May 31, 2025, pending standard approvals. Even after the sale, the IAC Group will continue to offer technical support. It will do so under a formal technical assistance agreement, ensuring continuity in product development and engineering know-how.

IAC India supplies plastic interior parts to major automakers in India. Key clients include Mahindra, Maruti Suzuki, and Volvo Eicher Commercial Vehicles, etc. The company runs five plants in Chakan, Manesar, Nashik, and Bangalore. It also operates an engineering centre in Pune. There, over 330 engineers work on design, tooling, and project management, serving both Indian and global markets.

LATL plans to merge IAC India into its main business. This decision, now under review, depends on regulatory and legal approvals. The goal is to improve operational synergy and reduce overlap in workflows. Chairman Deepak Jain said the move fits into LATL’s long-term plan. He stressed the company’s focus on scaling its presence in lighting, plastics, and interiors, especially for electric vehicles (EVs).

Managing Director Anmol Jain added that full ownership will help cut costs and create financial space for future expansion or acquisitions. For this deal, KPMG Corporate Finance served as the exclusive advisor, while Cyril Amarchand Mangaldas handled the legal work.

Lumax Auto Technologies, part of the Lumax-DK Jain Group, makes a wide range of auto parts. These include lighting systems, gear shifters, mechatronics, and high-grade plastics. The company runs 28 manufacturing units across India. It supplies key firms like Honda, Tata Motors, Toyota, Bajaj Auto, and Maruti Suzuki.

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