The company has completed the acquisition of automotive interior trim and NVH components business from Futuris Automotive
Supreme Nonwovens Group, India’s largest and most diversified nonwovens group, through its majority owned Thailand subsidiary Supreme Feltol Thailand Co. Ltd. announced on February 1, 2020 the acquisition of automotive interior trims and NVH business of Futuris Automotive, a subsidiary of Adient Plc, USA. Supreme Feltol Thailand is a JV between Supreme Treon (P) Ltd. and Feltol Thailand Manufacturing Company Ltd. Supreme Feltol began JIT deliveries from its greenfield plant located at Eastern Seaboard to Ford Motors and Auto Alliance Thailand in September 2019. Post-acquisition of Futuris Automotive’s business, the company will have a second plant in Eastern Seaboard and will employ 230 staff and workmen across its two manufacturing plants in Thailand.
Commenting on this development, Amit Kavrie, Managing Director, Supreme Nonwovens Group, said: “This acquisition further reaffirms Supreme Group’s commitment to our global automotive OEM customers. We continue to focus in our core business areas and with the investments in Thailand the company is on course for a geographical expansion. The timing is perfect as the automotive industry is going through a major technological shift. Our strong research and development base, next generation nonwoven material technologies together with competent engineering resources place us in a strong position to benefit from opportunities arising out of the technological shift.”
“Over the next few months, the company will explore further opportunities for growth with automotive OEMs in Thailand and Southeast Asia. We expect the Thailand subsidiary alone to generate annual sales revenue of USD 50 million within the next five years,” he added. The overseas investments and expansions augur well for Supreme Group to continue growing even while the Indian automotive market remains subdued.
Supreme Treon is a supplier of choice to practically all the major automotive OEMs and enjoys around 50% market share. Major customers of the company are Ashok Leyland, Force Motors, Ford Motors, General Motors, Honda, Hyundai, John Deere, Mahindra and Mahindra, Maruti Suzuki, MG Motors, Nissan-Datsun, Renault, SML Isuzu, Tata Motors, Toyota and Volvo-Eicher.