Rockman Industries, the auto-components arm of the $5 billion Hero Group, has forayed into carbon composites space by acquiring majority stake in Surat-based Moldex Composites in a deal valued at around Rs100 crore. With the stake buyout, the company eyes diversifying into motorsports, aerospace and high-end automotive components manufacturing.
“Our investment into the carbon composites technology is aimed at pre-empting the global shift towards carbon fibre in automobiles, besides an entry into motorsports and aerospace,” Rockman Industries Chairman and Managing Director Suman Kant Munjal told PTI.
The move is also a part of the company’s diversification strategy aimed at a turnover of Rs5,000 crore by 2021, he added. Over the next five years, the company expects carbon composites to account for 10 per cent of its topline which currently stands at around Rs2,250 crore. Rockman has also lined up an investment of Rs500 crore to set up two more manufacturing facilities in Gujarat and South India for its existing businesses besides augmenting the production capacity at Moldex going ahead.