This Mid-Cap auto ancillary stock was up by 2 percent after the company raised its stake in its joint venture firm. At 1:55 p.m the shares of the company were trading green at Rs 607 up by 2 percent from its previous day close price and the market capitalization of the company is 34,731 Cr.
According to the company’s exchange filing on BSE, Uno Minda to increase its stake in its Joint venture company Minda Westport Technologies Limited from 50 percent to 76 percent by acquiring an additional 26 percent stake for a purchase consideration of 14.81 Cr, to accelerate growth in the growing CNG and other alternative fuel market. The acquisition of shares is targeted to be completed on or before 31st March 2024.
Minda Westport Technologies Limited (MWTL) was established as a 50:50 joint venture between Uno Minda and Westport. MWTL is one of the leading manufacturers of Alternate Fuel Systems, CNG and LPG components and kits for OEMs and Aftermarket in India.
The company’s revenue has increased by 35.17 percent from 8,313 Cr in FY22 to 11,236.49 Cr in FY23, accompanied by increasing profits of 412.64 Cr to 700.23 Cr.
The company reported a return on equity (ROE) of 18.55 percent and return on capital employed (ROCE) of 19.88 percent, this indicated the company is able to make good returns on its equity and make efficient use of the company’s resources.
According to the latest shareholding data available for the June 2023 quarter, the company’s Promoters hold 70.05 percent stake, the Domestics Institutional Investors hold 17.14 percent and the Foreign Institutional Investors (FII) hold 6.51 percent.
Uno Minda Limited is a leading global manufacturer and supplier of proprietary automotive solutions and systems to OEMs. It is one of the leading manufacturers of automotive switching systems, automotive lighting systems, automotive acoustics systems, automotive seating systems and alloy wheels in India.
Written by: Bharath K.S
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
