The shares of the leading manufacturer of advanced braking systems gained 3 percent after the company came into a joint venture to expand its footprints for passenger car products.
With a market capitalization of Rs 6,256.32 crore, the shares of ASK Automotive Ltd were trading at Rs 317.15 share, increasing around 0.38 percent as compared to the previous closing price of Rs 315.95 apiece.
According to the company filing, ASK Automotive Ltd Inked a Strategic Joint Venture with AISIN Group Companies, a Japanese OE Auto Components Supplier, to Expand its Footprints into Domestic and International Independent Aftermarket for Passenger Car Products.
Moreover, this joint venture will take advantage of ASK Automotive’s extensive distribution network and AISIN Group Companies’ well-known product quality. Our combined knowledge and resources strive to make high-quality passenger car goods more accessible to end users in the Independent Aftermarket.
Furthermore, with this Strategic Collaboration, both Companies endeavor to expand their footprints across India, Nepal, Sri Lanka, and Bangladesh for the Independent Aftermarket (IAM) of Passenger Car Products.
Mr. Aman Rathee, Executive Director, ASK Automotive Limited, said, “Our Strategic Joint Venture with AISIN Group Companies will expand our Aftermarket Business significantly in India. I foresee a great success for this Joint Venture capitalizing the synergies created by ASK and AISIN Group in the Independent Aftermarket ecosystem.”
Looking into ASK Automotive Ltd’s performance, revenue increased by 19 percent from Rs 637 Crore in Q3FY23 to Rs 762 Crore in Q3FY24. During the same time frame, net profit increased by 72 percent from Rs 29 crore to Rs 50 crore.
As of June 2023, the corporation operated 15 manufacturing plants in five Indian states. It serves a varied clientele that includes well-known brands such as HMSI, HMCL, Suzuki, TVS, Yamaha, Bajaj, Royal Enfield, Denso, and Magneti Marelli.
ASK Automotive Limited makes automotive components. The company provides brake panel assembly, brake shoes, disc brake pads, brake lining, and mission cases to various automotive vehicle segments such as motorcycles, scooters, passenger cars, and commercial vehicles. ASK Automotive services clients across India.
Written by:- Abhishek Singh
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