Lumax Auto Technologies to acquire remaining 25% in IAC India, gaining full ownership. IAC will continue tech support; deal to close by May 31, 2025.
Lumax Auto Technologies Ltd (LATL) has signed a definitive agreement to acquire the remaining 25% stake in IAC International Automotive India Pvt Ltd (IAC India) from the IAC Group. Following this transaction, IAC India will become a wholly owned subsidiary of LATL. The acquisition is expected to be completed by May 31, 2025, subject to standard closing conditions.
IAC India: Key Supplier to Major OEMs
IAC India supplies interior systems such as integrated cockpits and door panels to several major automotive manufacturers in India, including Mahindra, Maruti Suzuki, Volkswagen, and Volvo Eicher Commercial Vehicles. Notably, it is the exclusive supplier of interior components for Mahindra’s BE6 and XEV 9e battery electric vehicles.
The company operates five manufacturing plants across India — two in Chakan (Pune), and one each in Manesar, Nashik, and Bangalore. It also runs an engineering centre in Pune with over 300 engineers and designers offering product design, tooling development, and program management for both domestic and international clients.
Post-Acquisition Plans
LATL had previously acquired a 75% stake in IAC India in March 2023. With this move to acquire the remaining shareholding, LATL is expected to consider the merger of IAC India into its own operations, pending regulatory approvals. The goal is to improve operational efficiency and consolidate capabilities across product lines. While IAC Group is exiting ownership, it will continue to provide technology support to IAC India under a separate agreement. KPMG Corporate Finance advised LATL on the deal, while legal support was provided by Cyril Amarchand Mangaldas.
Mr. Deepak Jain, Chairman, Lumax Group, said, “The consolidation will strengthen our strategic vision and enable future growth, building on the strong foundation to drive continuity, performance, and scalability. This development marks a significant milestone in our journey towards long-term value creation and providing comprehensive solutions across lighting, plastics, and interiors. It also reinforces its strategic position within IAC India and expands our footprint on major Electric Vehicle platforms of leading OEMs such as Mahindra & Mahindra, emphasising our commitment to the future of sustainable mobility.”
Mr. Anmol Jain, Managing Director of Lumax Auto Technologies, added, “This strategic move will further strengthen Lumax Auto Technologies’ foothold in four-wheeler automotive plastics. This further integration will allow for better cost optimisation and rationalisation of resources, potentially creating financial flexibility at the parent level to pursue future strategic, inorganic opportunities that align with our long-term vision. In addition, it will accelerate innovation and enhance our value proposition per vehicle that is seeing a shift towards improved interiors in passenger vehicles.”
