Milwaukee-based vehicle access control products manufacturer Strattec Security Corp. announced today that VAST LLC has executed a $12 million agreement to become a 50:50 joint venture partner with Minda Management Services Limited.
Strattec itself has a joint venture with VAST, otherwise known as Vehicle Access Systems Technology, which includes WITTE Automotive of Velbert Germany and ADAC Automotive of Grand Rapids, Mich.
Minda Management Services Limited is an affiliate of Minda Corp. Ltd. and Spark Minda, Ashok Minda Group of New Delhi, India (collectively “Minda”). VAST acquired a 50 percent equity interest in the former Minda-Valeo Security Systems joint venture entity, based in Pune, India, for approximately $12 million. This joint venture entity will be renamed Minda-VAST Access Systems, or Minda-VAST.
“This is a very important step forward in the strategic strengthening of VAST,” said Frank Krejci, president and chief executive officer of STRATTEC. “India is projected to be one of the fastest growing economies globally. In addition to the growth opportunities, it is important that VAST is able to properly support the global needs of our automotive customers as they expand both their manufacturing and marketing.
“We are very excited to join a partner with the history of success and capabilities of Minda and its affiliates. We view them as a leading company in the Indian market and they have also been very effective in playing an important role in supporting global programs. Minda-VAST will have operations in Pune and Delhi and is expected to have approximate annual sales in excess of $40 million US dollars.
“By being part of the larger Minda group of affiliated companies, we believe Minda-VAST will be in a position to leverage the manufacturing capabilities, technical knowledge and market position of Minda and its affiliates in this region of the world. Minda and its affiliates cater to the needs of all major car, motorcycle, commercial vehicle, tractor and off-road vehicle manufacturers in India. They are a leading manufacturer of security & access products, handles, automotive safety, restraint systems, driver information and telematics systems for both OEMs and the aftermarket. Minda Corporation Limited is publicly traded on the National Stock Exchange of India (NSE: Mindacorp).”
Accelerator Group LLC acted as the advisor to Minda for this transaction.
