Samvardhana Motherson (formerly known as Motherson Sumi Systems Limited) is an Indian manufacturer of

wiring harness A cable harness, also known as a wire harness, wiring harness, cable assembly, wiring assembly or wiring loom, is an assembly of electrical cables or wires which transmit signals or electrical power. The cables are bound together by a durable ma ...

es, plastic components and

rearview mirror A rear-view mirror (or rearview mirror) is a flat mirror in automobiles and other vehicles, designed to allow the driver to see rearward through the vehicle's rear window (rear windshield). In cars, the rear-view mirror is usually affixed to ...

s for passenger cars. The company was established in 1986 as a

joint venture A joint venture (JV) is a business entity created by two or more parties, generally characterized by shared ownership, shared returns and risks, and shared governance. Companies typically pursue joint ventures for one of four reasons: to acces ...

with the Sumitomo Group of Japan.

History

1975-1999

In 1975, Vivek Chaand Sehgal and his mother established the Motherson Group as a silver trading business. Two years later, Sehgal set up a

power cable A power cable is an electrical cable, an assembly of one or more electrical conductors, usually held together with an overall sheath. The assembly is used for transmission of electrical power. Power cables may be installed as permanent wiring w ...

s factory. A collaboration with Tokai Electric Co. (now Sumitomo Wiring Systems) in 1983 led to the incorporation of Motherson Sumi Systems in 1986, primarily as a

manufacturer for

Maruti Udyog Maruti Suzuki India Limited, formerly known as Maruti Udyog Limited, is an Indian automobile manufacturer, based in New Delhi. It was founded in 1981 and owned by the Government of India until 2003, when it was sold to the Japanese automaker ...

. Motherson Sumi Systems started as a joint venture between Samvardhana Motherson International Ltd of India and Sumitomo Wiring Systems Ltd. (SWS) of Japan. The company was listed in 1993 on BSE and subsequently on NSE.

2000-2019

Motherson Sumi Systems went on to acquire several companies, the first being in 2002 when it acquired the assets of the bankrupt Irish company Wexford Electronics, a manufacturer of wiring harnesses for material handling and earthmoving equipment. In 2006, it purchased the Australian company Empire Rubber. In 2009, it acquired the global

business of the world's largest rearview mirror maker (now renamed as Samvardhana Motherson Reflectec). In 2011, it acquired the German interior and exterior polymer modules maker (now named Samvardhana Motherson Peguform). In 2014, it bought the wiring harness business of Stoneridge Inc for $65.7 million. This was followed by the acquisition of Finnish electrical distribution systems manufacturer in 2017 for $619 million, French interior components maker Reydel Automotives (now named Samvardhana Motherson Reydel Companies) in 2018 for $201 million, and

Bombardier Transportation Bombardier Transportation was a Canadian-German rolling stock and rail transport manufacturer, headquartered in Berlin, Germany. It was one of the world's largest companies in the rail vehicle and equipment manufacturing and servicing industry ...

's UK electrical component and systems business in 2019.

2020-present

In 2020, the domestic wiring harness business was restructured under a newly-incorporated, wholly-owned subsidiary of Motherson Sumi Systems called Motherson Sumi Wiring India Limited (MSWIL). MSWIL was subsequently

demerged A demerger is a form of corporate restructuring in which the entity's business operations are segregated into one or more components. It is the converse of a merger or acquisition. A demerger can take place through a spin-off by distributed or t ...

and became a listed company in 2022. At the time of its listing, Samvardhana Motherson International held a 33.4% stake in MSWIL, while 25.3% was held by Sumitomo Wiring Systems, 3% by Sehgal family and the rest by public investors. After this demerger, the holding company of the group Samvardhana Motherson International Limited, which held stakes in Motherson Sumi Systems and the unlisted global components maker Samvardhana Motherson Automotive Components Group BV (SMRPBV), was merged into Motherson Sumi Systems; the merged entity was renamed as Samvardhana Motherson International Limited. After the merger, Sehgal family held a 50.4%

majority stake A controlling interest is an ownership interest in a corporation with enough voting stock shares to prevail in any stockholders' motion. A majority of voting shares (over 50%) is always a controlling interest. When a party holds less than the major ...

in the merged entity followed by Sumitomo Wiring Systems at 17.7%. In 2022, the company acquired Ichikoh's mirror manufacturing division for . In 2023, it acquired Saddles International, an Indian automotive upholstery company, for . It then bought 100% of SAS Autosystemtechnik, a German automotive cockpit manufacturer, from

Faurecia Faurecia SE is a French global automotive supplier headquartered in Nanterre, in the western suburbs of Paris. In 2018 it was the 9th largest international automotive parts manufacturer in the world and #1 for vehicle interiors and emission contr ...

at an enterprise value of €540 million.

Products

The products manufactured by Samvardhana Motherson Group comprises wiring harnesses (electrical distribution systems), rearview mirrors, moulded plastic parts including car interior and exterior parts, bumpers, dashboards and door trims, complete polymer modules, rubber components for automotive and industrial applications, high precision machined metal parts and injection moulding tools.

References

{{Automotive industry in India Auto parts suppliers of India Manufacturing companies based in Noida Companies established in 1986 1986 establishments in Uttar Pradesh Indian companies established in 1986 Companies listed on the National Stock Exchange of India Companies listed on the Bombay Stock Exchange