TVS Logistics, part of TVS group, one of the largest automotive components manufacturers in India, has acquired supply chain company Multipart Holding, one of the UK’s top three aftermarket logistics companies.
TVS has said it will invest more than RS 125 crore ($30m) in Multipart over the next 18 months to expand operations in the UK and the rest of Europe.
Multipart, which had a turnover of £63m ($105m) last year, offers supply chain management for the automotive industry with clients including Isuzu, Dennis Eagle, Optare and TVR. The company also provides support for the defence and utility sectors. It began life as the parts distribution business of Leyland Trucks.
Directors Chris Gateley and Paul Roberts bought the Multipart from its former South African parent Imperial Holdings in June 2008. Gateley said the company has won new contracts over the past two years and has only been constrained by access to funding for growth, which TVS, as a $5 billion company, can provide.
TVS Logistics Chairman Suresh Krishna (pictured left) told India’s Economic Times “the acquisition will give us a tremendous leg up and strengthen our base in the UK.”
The Indian company already has a strong presence in both vehicle parts logistics and in the UK component supply industry.
TVS Logistics is pursuing an aggressive growth plan in several markets around the world. Managing director R Dinesh (pictured right) told journalists last week: “We will look at further consolidating our presence in India, the US and Europe and enter South America (Brazil) and China through joint ventures by 2010.”
Multipart currently operates a warehouse facility near Chorley, which was built in 2006, together with other warehouse facilities in Crick, North Luffenham and Bicester in the UK Midlands.