Multibagger Auto Ancillary Major Announces Rs 320 Crore Greenfield Plant; Check Details

On Wednesday, Indian equity benchmarks traded lower, with the benchmark Nifty 50 index declining 0.68 per cent to 24,233.20. Amid the broader market weakness, Uno Minda share price traded at Rs 1,142.00, up 1.13 per cent from the previous close after the company announced a Rs 320 crore greenfield investment to enter the four-wheeler passenger vehicle seating systems business.

Uno Minda Enters 4W Passenger Vehicle Seating Systems

Uno Minda announced its strategic entry into the four-wheeler (4W) passenger vehicle seating systems segment, one of the highest-value product categories in the automotive supply chain. To support the expansion, the company's Board of Directors has approved setting up a state-of-the-art greenfield manufacturing facility in Chhatrapati Sambhajinagar, Maharashtra, with a proposed capital expenditure of approximately Rs 320 crore. The facility is expected to commence operations by Q4FY28.

Joint Venture to Drive Expansion

The project will be executed through Uno Minda Tachi-S Seating Private Limited, the company's joint venture with TACHI-S Company Limited, Japan, a global automotive seating manufacturer. Uno Minda had entered into the joint venture in September 2022 to manufacture and market seat recliners for passenger vehicles. With this expansion, the company will move into complete passenger vehicle seating systems, significantly increasing its value addition per vehicle.

The company also said the joint venture has already secured an anchor customer order from a leading OEM, validating its engineering capabilities and manufacturing readiness for the new product segment.
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Management Commentary

Commenting on the development, Ravi Mehra, Managing Director of Uno Minda Limited, said, "This is one of the most exciting chapters in Uno Minda's growth story. Entering the complete 4W Passenger Vehicle Seating Systems segment isn't just a product expansion—it's a strategic leap that substantially increases our per-vehicle value potential and deepens our footprint in a segment that is central to the premium vehicle experience."

He added that the greenfield facility reflects the company's commitment to advanced domestic manufacturing and delivering high-performance seating solutions for India's evolving automotive market.

About Uno Minda

Uno Minda Ltd is a global automotive components and systems manufacturer supplying leading OEMs across passenger vehicles, commercial vehicles, two-wheelers and three-wheelers. The company manufactures over 28 product categories catering to both internal combustion engine and electric vehicle platforms.

The group operates 78 manufacturing facilities across India and overseas, along with 37 R&D and engineering centres, and has 18 joint ventures and technical agreements with global automotive technology partners.

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Disclaimer: The article is for informational purposes only and not investment advice.