Sansera Engineering Limited has announced a strategic joint venture with Japan's Nichidai Corporation to manufacture precision forged and machined parts in aluminum and steel for automotive components. The joint venture company, to be incorporated in Bengaluru, India, will focus on differential assemblies, compressors, driveline, and other advanced automotive parts for both domestic and international markets. Sansera will hold a 60% stake in the JV Company, with Nichidai holding the remaining 40%. The JV Company's board will comprise seven directors, with four nominated by Sansera and three by Nichidai. Sansera's nominee will serve as the Managing Director. Nichidai will exclusively supply tooling and technical know-how to the JV Company in India, subject to certain exceptions. The initial authorized equity share capital of the JV Company is proposed to be ₹2,00,00,000, with an initial paid-up share capital of ₹2,00,000. Sansera has approved an investment of up to ₹500 million (₹50 crore) in the JV Company in one or more tranches. The JV is expected to be operational within approximately 12 months from the disclosure date. This collaboration aims to diversify Sansera's product portfolio, access new customer segments, create additional revenue streams, and strengthen its competitive position in the automotive value chain. Nichidai brings over 50 years of expertise in manufacturing dies, precision components, and filters.
