The shares of Auto Ancillary company, specializing in the manufacturing of automotive suspension systems, components, and shock absorbers, hit a 20 percent upper circuit upon merging AIPL’s automotive business, including brake fluids, coolants, adhesives, and joint ventures, into itself.
With a market capitalization of Rs. 12,107.75 crores on Tuesday, the shares of Gabriel India Limited hit a 20 percent upper circuit, making a high of Rs. 842.90 compared to its previous close of Rs. 702.45.
Gabriel India Limited is engaged in the manufacturing of automotive suspension systems, components, and shock absorbers, has announced a major strategic restructuring through a composite scheme of arrangement involving Gabriel India, Asia Investments Private Limited (AIPL), and Anchemco India Private Limited.
Under this scheme, Gabriel India will take over AIPL’s automotive business, which includes Anchemco’s products like brake fluids, coolants, DEF/Ad-Blue, and adhesives, as well as AIPL’s investments in three other automotive companies. In return, Gabriel will give AIPL shareholders 1,158 new shares (of ₹1 each) for every 1,000 shares (of ₹10 each) they currently own in AIPL.
This restructuring will consolidate multiple automotive component businesses and product lines, including drivetrain products (like EV transmissions), Body-in-White and NVH solutions, synchronizer rings, aluminum forgings, brake fluids, coolants, DEF/Ad-Blue, and adhesives, under Gabriel’s umbrella.
Combined with Gabriel’s recent addition of the sunroof business, this move marks a transformation from a mono-product suspension company into a diversified, technology-driven mobility solutions provider.
The aim is to reduce reliance on a single product line, expand into new segments and geographies, strengthen the aftermarket and railway product ranges, and position Gabriel as a preferred global OEM partner.
The scheme is designed to accelerate profitable growth, improve margins, and create substantial shareholder value through higher earnings per share and return on equity. The transaction is expected to be completed within 10–12 months, subject to regulatory and shareholder approvals.
Reflecting on the said restructuring, Mrs. Anjali Singh, Chairperson of Gabriel India, said: This Scheme of Arrangement is in line with our Group’s strategy towards re-aligning the corporate structure, which will result in its improved competitive position, and Gabriel India will play a pivotal role.
We see Gabriel India as ANAND Group’s vehicle for future growth, with its ability to provide a platform to capture the value creation for all its shareholders. At a Group level, we have set ourselves a revenue target of Rs. 50,000 crores by 2030, and we see Gabriel India is leading the way
Financials & Others
The company’s total revenue rose by 16.8 percent from Rs. 922.87 crore to Rs. 1,078.52 crore in Q4FY24-25. Meanwhile, Net profit grew from Rs. 49.04 crore to Rs. 64.36 crore during the same period.
Gabriel India Limited was founded in 1961 and is the leading company of the ANAND Group and a trusted name in automotive components, especially ride control products like shock absorbers and struts.
With nine modern plants and three satellite facilities, Gabriel produces up to 60 million units a year, serving all major vehicle segments and exporting to 25 countries.
The company has expanded into sunroof systems through a partnership with Inalfa and strengthened its suspension business by acquiring assets from MMAS. Gabriel is focused on innovation and sustainability as it drives the future of mobility in India and beyond.
Written by Sridhar J
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