MOTHERSON

Jan 5 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• UNIT SECURES INCENTIVES UNDER INDIA'S PLI SCHEME

Source text: ID:nBSE626CT1

Further company coverage: SAMD.NS

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** Brokerage CLSA raises target price on auto parts maker Samvardhana Motherson SAMD.NS to 124 rupees from 113 rupees; lifts target multiple to 24x from 23x

** Stock rises 2.4% to 107.2 rupees

** New TP implies an 18% upside on last close; CLSA rates SAMD "outperform"

** CLSA says the company has been able to execute a more-than 2x jump in profit in 5 years; looks to set steeper targets for the next five years, citing a meeting with the company's management

** SAMD is aiming for 5x revenue in next 5-yrs; maintains long-term return on capital employed target at 40% - CLSA

** SAMD set for seventh straight session of gains; it rose 10.7% last week

** Stock rated "Buy" on avg, median PT at 114 rupees - data compiled by LSEG

** YTD, stock up 3%

(Reporting by Manvi Pant in Bengaluru)

(([email protected]; +918447554364;))

** Shares of Samvardhana Motherson International Ltd SAMD.NS climb ~4% to 104.52 rupees; extending weekly gains to 10.4%

** Auto parts maker set for biggest weekly gain since June 2024

** SAMD rose in all sessions of the week, with gains led by its bullish growth outlook, and hopes of a U.S. trade deal

** Analysts tracking stock rate it "buy" on average - data compiled by LSEG

** Stock biggest daily and weekly gainer among auto stocks .NIFTYAUTO and on Nifty Next 50 .NN50 index

** SAMD turns YTD positive, last up 0.4% vs Nifty Auto index's ~18% jump

(Reporting by Nandan Mandayam in Bengaluru)

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Aug 29 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON- SAMIL BOARD APPROVES SHARE CAPITAL REDUCTION BY MTSL

• SAMVARDHANA MOTHERSON - SAMIL TO OWN 100% OF MTSL POST SHARE CAPITAL REDUCTION

Source text: ID:nNSE957h6X

Further company coverage: SAMD.NS

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Aug 13 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• Q1 CONSOL NET PROFIT 5.12 BILLION RUPEES; IBES EST. 9.09 BILLION RUPEES

• Q1 CONSOL TOTAL REVENUE FROM OPERATIONS 302.12 BILLION RUPEES; IBES EST. 305.01 BILLION RUPEES

• EXCEPTIONAL CHARGE OF 1.36 BILLION RUPEES IN Q1

Source text: ID:nNSEbC1X3J

Further company coverage: SAMD.NS

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Aug 8 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON - INCORPORATED SUBSIDIARY MOTHERSON NEW ENERGY

Source text: ID:nBSE31QGSl

Further company coverage: SAMD.NS

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MUMBAI, June 25 (Reuters) - India's Samvardhana Motherson International SAMD.NS has accepted bids worth 20.25 billion Indian rupees ($235.34 million) for bonds maturing in five years, three merchant bankers said on Wednesday.

It will pay an annual coupon of 6.80% and had invited bids from bankers and investors earlier in the day, they said.

The company did not reply to a Reuters email seeking comment.

Here is the list of deals reported so far on June 25:

*Size includes base plus greenshoe for some issues

($1 = 86.0450 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Tasim Zahid)

(([email protected]))

MUMBAI, June 24 (Reuters) - India's Samvardhana Motherson International SAMD.NS plans to raise 25 billion rupees ($290.1 million), including a greenshoe option of 5 billion rupees, through the sale of bonds maturing in five years, three merchant bankers said on Tuesday.

It will pay an annual coupon of 6.80% and has invited bids from bankers and investors on Wednesday, they said.

The company did not reply to a Reuters email seeking comment.

Here is the list of deals reported so far on June 24:

*Size includes base plus greenshoe for some issues

($1 = 86.1900 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Sonia Cheema)

(([email protected]))

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

By Una Galani

HONG KONG, June 12 (Reuters Breakingviews) - Japan has become the world's hottest private equity market. So it is perhaps fitting that one of the country’s biggest buyout wreckages is finally being cleared up. Marelli, a supplier of parts to automakers Nissan Motor 7201.T and Stellantis STLAM.MI, on Wednesday voluntarily filed for bankruptcy protection in the United States to restructure debt of around 700 billion yen, about $4.9 billion. It's a painful ending for owner KKR KKR.N but one that will help the private equity giant steer around the pileup.

Marelli's decision to initiate Chapter 11 proceedings in the United States for the maker of lighting, interiors and chassis solutions is the latest twist in the long-running saga. A consortium of overseas creditors led by Strategic Value Partners, Deutsche Bank DBKGn.DE and South Korea's MBK will provide $1.1 billion of debtor-in-possession financing and take ownership if no superior offer emerges within a 45-day period, two people familiar with the situation told Reuters Breakingviews.

That’s not a foregone conclusion. Samvardhana Motherson International SAMD.NS, the Indian supplier of car wiring, mirrors and other parts, may yet submit an offer if it can gather financing. The $13 billion group’s earlier buyout proposal won the backing of Marelli customers and Japanese lenders led by Mizuho Financial Group 8411.T, but failed to secure the support of international creditors.

Finding a strong strategic owner for Marelli would be some consolation for Japan, whose auto industry is both an export engine and key employer. KKR will suffer a $2.6 billion writedown, most of which it has incurred already. Yet a successful restructuring would limit its embarrassment in the country that is the anchor for the buyout firm’s Asia Pacific strategy, representing 36% of the fair value of its investments in the region. Despite the Marelli crash, the firm has generated an impressive 37% gross internal rate of return across 15 investments since 2010.

The buyout came straight from a private equity owner’s manual: borrow large sums to pluck unloved divisions out of companies, mash them together, hack out costs, improve efficiency and find more customers. KKR kicked off by acquiring Japan’s Nissan-backed Calsonic Kansei for up to $4.5 billion in 2016, and then in 2019 paid about $6.5 billion to extract Italy’s Magneti Marelli from what was then Fiat Chrysler Automotive.

Challenges came thick and fast, however. Travel restrictions during the pandemic meant the Italian and Japanese engineers were unable to work side by side, while the arrest of Carlos Ghosn, the ousted chair of Nissan, precipitated turmoil at Marelli’s top customer. Now the entire auto industry is straining to adjust to the rise of electric vehicles, drowning in overcapacity, and reeling from U.S. President Donald Trump’s tariffs.

Marelli had already rejigged its debt, back in 2022. Its problems now look slightly less specific to KKR's ownership. The final chapter of this disastrous deal will nonetheless serve as a reminder to the rest Japan Inc. of what can go wrong in its current buyout boom.

Follow Una Galani on Linkedin and X.

CONTEXT NEWS

Japanese auto-parts supplier Marelli has initiated voluntary U.S. Chapter 11 proceedings to restructure its long-term debt, the company owned by U.S. private equity firm KKR said on June 11.

Approximately 80% of lenders have signed an agreement to support a restructuring that will provide $1.1 billion of debtor-in-possession financing from lenders, Marelli said. Lenders providing the DIP financing will take ownership of the business when it emerges from Chapter 11 if no superior proposal emerges during a 45-day "overbid" process, it added.

In May, Marelli put forward a restructuring plan focused on a buyout by India's Samvardhana Motherson International but the proposal divided Japanese and foreign creditors, the Nikkei reported, citing unnamed sources.

Japanese lenders to Marelli include Mizuho, Japan Bank for International Cooperation and Development Bank of Japan. Strategic Value Partners, a credit investor, is the largest of the foreign creditors.

(Editing by Peter Thal Larsen; Production by Aditya Srivastav)

((For previous columns by the author, Reuters customers can click on GALANI/ [email protected]))

Adds details, background from paragraph 4

April 15 (Reuters) - India's auto shares jumped more than 3% on Tuesday and were set for their best day since early January, after U.S. President Donald Trump suggested he might grant exemptions on auto-related import tariffs.

Speaking on Monday at the White House, Trump said he was considering a modification to the 25% tariffs imposed on foreign auto and auto parts imports from Mexico, Canada and other places. Those tariffs could raise the costs of a car by thousands of dollars, and Trump said car companies "need a little bit of time because they're going to make 'em here."

Shares of auto parts makers rose the most on the auto index .NIFTYAUTO, which was last up 3.3%.

Samvardhana Motherson SAMD.NS, India's biggest component maker by market capitalisation, jumped 7.7%, while Bharat Forge BFRG.NS and Sona BLW SONB.NS rose around 6% and 7.3%, respectively.

Tata Motors, whose luxury unit Jaguar Land Rover (JLR) gets about a quarter of its sales from the U.S., rose 5%. It was the second-biggest winner on the auto index and among the biggest winners on the blue-chip Nifty 50 .NSEI, which was up over 2%.

The 15-member auto index, which had fallen nearly 11% since Trump announced his auto tariffs on March 26, has since narrowed the decline to 2.5%.

U.S.-reliant auto stocks pared their losses to between 6% and 12%, with Samvardhana posting the smallest loss and Tata Motors recording the steepest drop.

Trump's latest comments came days after he said he would pause "reciprocal" tariffs imposed on dozens of countries for 90 days.

Nomura said in a note on Friday they expect Indian suppliers to benefit from the pause on tariffs, as U.S. automakers look to source parts outside of China amid tit-for-tat tariffs between Washington and Beijing.

Ten of the 15 Nifty auto stocks are rated "buy" on average, with the rest rated "hold", according to data compiled by LSEG.

(Reporting by Nandan Mandayam in Bengaluru; Editing by Mrigank Dhaniwala and Varun H K)

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April 8 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SUBSIDIARY INCORPORATES SAMVARDHANA MOTHERSON GLOBAL OPERATION FZCO

Source text: ID:nnAPN2QC851

Further company coverage: SAMD.NS

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March 27 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON INTERNATIONAL LTD - COMPANY ASSESSES NO MATERIAL IMPACT FROM U.S. TARIFFS

• SAMVARDHANA MOTHERSON- SIGNIFICANT PART OF PRODUCTS SUPPLIED BY CO TO US ARE USMCA COMPLIANT

Source text: ID:nBSE2bbFst

Further company coverage: SAMD.NS

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March 21 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON INTERNATIONAL - TO SUBSCRIBE OF 20,000 CCDS AGGREGATING UP TO 2 BILLION RUPEES

Source text: ID:nNSE28GRGX

Further company coverage: SAMD.NS

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March 4 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SELECTED AS TIER 1 SUPPLIER TO AIRBUS COMMERCIAL AIRCRAFT

• SIGNS MULTI-YEAR CONTRACT TO SUPPLY AIRBUS

Source text: ID:nBSE8kCNy7

Further company coverage: SAMD.NS

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Feb 20 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON INTERNATIONAL LTD - INCORPORATES WHOLLY OWNED SUBSIDIARY IN UAE

• SAMVARDHANA MOTHERSON INTERNATIONAL - UNIT TO PROVIDE TREASURY SERVICES FOR SAMIL AND SUBSIDIARIES

Source text: ID:nBSE8LPvgd

Further company coverage: SAMD.NS

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** Shares of auto-parts maker Samvardhana Motherson SAMD.NS slip ~2% to 123.81 rupees

** At least 11 brokerages cut price targets on stock after Q3 results missed estimates on Friday, hurt by weak global car sales, per data compiled by LSEG

** Brokerages including J.P. Morgan, Nomura, Citi Research said global auto demand remains weak in near-term on production delays, uncertainty around U.S. tariffs

** Investec says co is not "out of the woods yet" as macroeconomic demand challenges continue

** Some analysts flag positive growth momentum in co's emerging businesses segment, which includes electronics and aerospace segments and on management strategy to focus on acquisitions

** Mean PT of 19 brokerages falls to 162.43 rupees from 179.26 rupees before results - data compiled by LSEG

** Stock down ~21% YTD, it rose 53% in 2024

(Reporting by Manvi Pant in Bengaluru)

(([email protected]; +918447554364;))

Feb 14 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON INTERNATIONAL Q3 CONSOL NET PROFIT 8.79 BILLION RUPEES; IBES EST. 9.4 BILLION RUPEES

• SAMVARDHANA MOTHERSON INTERNATIONAL Q3 CONSOL TOTAL REVENUE FROM OPERATIONS 276.66 BILLION RUPEES; IBES EST. 293.11 BILLION RUPEES

Source text: [ID:]

Further company coverage: SAMD.NS

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Feb 7 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• UNITS APPROVED TO EXECUTE JV AGREEMENT(S) WITH SANKO CO

• JOINT VENTURE TO PROVIDE SUSTAINABLE PACKAGING SOLUTIONS IN INDIA AND EUROPE

• JV-A TO BE INCORPORATED IN INDIA WITH SMGCL 51%, SANKO 49%

• JV-B TO BE INCORPORATED IN HUNGARY WITH SAHN BV 51%, SANKO 49%

Source text: ID:nBSEbb9Ksz

Further company coverage: SAMD.NS

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Jan 9 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON - DEVELOPMENT OF GEN 3 PROTOTYPE EXPECTED TO TAKE SOME MORE TIME

• SAMVARDHANA MOTHERSON - PUBLIC AUCTION FOR PRYSM'S ASSETS BEING INITIATED

• SAMVARDHANA MOTHERSON - MSSL CONSOL AGREED TO PROVIDE DRIP FINANCING OF UP TO $3.8 MILLION

Source text: ID:nBSE9gQBNd

Further company coverage: SAMD.NS

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Dec 6 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON - APPROVED ACQUISITION OF 95% STAKE IN ATSUMITEC CO LTD

• SAMVARDHANA MOTHERSON - DEAL FOR $57 MILLION

Source text: ID:nNSE5Cv29Z

Further company coverage: SAMD.NS

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Nov 12 (Reuters) - Indian auto parts maker Samvardhana Motherson International SAMD.NS reported a smaller-than-expected increase in second-quarter profit on Tuesday, hurt by slower demand.

The company, which supplies Maruti Suzuki MRTI.NS, Mercedes Benz, Audi and other automakers, said consolidated net profit rose over four-fold to 8.8 billion rupees ($104.27 million) for the three months ended Sept. 30.

However, that missed analysts' average estimate of 9.15 billion rupees, according to data compiled by LSEG.

Indian automakers reported a decline in shipments to dealers for the first time in more than two years during the July-September quarter, to help manage the excess inventory.

This impacted companies such as Samvardhana Motherson, which makes products like bumpers and mirrors for vehicles and generates 75% of its revenue from the automobile industry.

Its total revenue from operations of 278.12 billion rupees in the quarter also missed analysts' estimates of 281.88 billion rupees, while the 18.2% growth rate was slower than the 28.3% rate in the same period a year ago.

Cost of raw materials and services, a major chunk of the total expenses, jumped 10.7%, pushing total expenses up by 18% to 270.13 billion rupees.

The company's earnings before interest, taxes, depreciation, and amortization (EBITDA) margin was 8.9%, up from 8.5% in the year-ago quarter but down from 9.6% in the previous quarter.

Samvardhana's shares closed about 5% lower after the company reported its quarterly results.

($1 = 84.3975 Indian rupees)

(Reporting by Meenakshi Maidas in Bengaluru; Editing by Sumana Nandy; Editing by Savio D'Souza)

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Sept 26 (Reuters) - Samvardhana Motherson International Limited

• SAMVARDHANA MOTHERSON INTERNATIONAL LIMITED REPORTS 19.6%% STAKE IN REE AUTOMOTIVE LTD. AS OF SEPTEMBER 26 - SEC FILING

• SAMVARDHANA MOTHERSON INTERNATIONAL - IN DISCUSSIONS WITH REE AUTOMOTIVE REGARDING DESIGNATION OF INDIVIDUAL FOR APPOINTMENT TO THE BOARD

Source text for Eikon: [ID:n0001123292-24-000291]

Further company coverage: REE.O

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Sept 23 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• CLOSES QIP, RAISED $771 MILLION

Source text for Eikon: ID:nBSE1bnWV7

Further company coverage: SAMD.NS

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** Shares of Israeli electric truck maker REE Automotive REE.O rise 15.6% to $3.42 in morning trading

** Company raises more than $45 mln in funding round, which includes Indian auto parts major Samvardhana Motherson SAMD.NS

** Transaction gives Motherson a 19% stake in REE, and a board seat

** Existing investor M&G Investments gets 16% stake in REE for a $20 mln investment

** REE also signs a supply-chain partnership with Motherson

** Motherson will manage sourcing and supply chain logistics for all REE's vehicle parts, and support assembly of two electric truck models

** Up to Friday's close, stock had fallen 42.3% this year

(Reporting by Rishi Kant in Bengaluru)

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By Aditi Shah and Aditya Kalra

NEW DELHI, Sept 4 (Reuters) - One of India's largest makers of auto parts, Samvardhana Motherson International SAMD.NS, will launch a share sale of up to $715 million this month, two sources briefed on the matter told Reuters, the latest company to tap a booming stock market.

The fund-raising exercise stands to be one of India's biggest this year, data from Dealogic shows, lagging only $1-billion share sales by Vedanta and Adani Energy in recent months.

With a market capitalisation of about $15 billion, Motherson supplies parts to domestic and global automakers such as Maruti Suzuki MRTI.NS and Mercedes-Benz MBGn.DE.

Motherson's roadshows for the fund-raising exercise are "finding support from investors," said one of the two sources, who sought anonymity as the planning process is confidential.

The exercise is expected to be completed by month-end, the sources said, adding that the company plans to use the funds raised to repay debt, fund some expansion and certain capital expenditure.

Motherson did not respond to a request for comment.

The funds will be raised through a so-called Qualified Institutional Placement (QIP), which listed Indian companies use to raise funds from large institutions.

Motherson reported revenues of $11.75 billion and operating profit of more than $1 billion in the fiscal year that ended in March. Its net debt at the end of June stood at $1.58 billion.

Axis Bank AXBK.NS, HSBC HSBA.L, Jefferies JEF.N, JM Financial JMSH.NS and Morgan Stanley MS.N are advising the company on the share sale.

Jefferies declined to comment, while the other four did not respond to Reuters' requests for comment.

Motherson says it is among the world's largest suppliers of auto parts and also counts Tata Motors TAMO.NS, Volkswagen VOWG_p.DE, Ford Motor F.N and Porsche PSHG_p.DE among its clients.

Listed on the stock exchanges in 1993, the company also supplies parts to the aerospace, consumer goods and health and medical industries. It has acquired 45 companies in India and globally over the past two decades.

India's stock market is on a hot streak, with the benchmark index .NSEI up 16% this year, outdoing Asian peers.

(Reporting by Aditi Shah and Aditya Kalra; Editing by Clarence Fernandez)

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Aug 21 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON - INCORPORATED UNIT MOTHERSON STRATEGIC SYSTEMS MIDEAST, DUBAI

• SAMVARDHANA MOTHERSON - COST OF ACQUISITION AT AED 100,000

Source text for Eikon: ID:nBSE1tJwPd

Further company coverage: SAMD.NS

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** Shares of Samvardhana Motherson SAMD.NS rise about 3% to 185.85 rupees apiece

** Autoparts maker beats profit estimates in June quarter

** JPMorgan raises target price to 195 rupees from 165 rupees, reiterating "overweight" after the results

** Adds, SAMD to witness robust revenue growth between fiscal years 2024 and 2027 driven by rising vehicle assets and investments in non-automotive segments like aerospace and consumer electronics

** Morgan Stanley also raises target price to 198 rupees from 176 rupees, citing likely improvement in balance sheet, while Nomura expects diversification to defence and aerospace segments to aid growth

** The mean rating of 19 analysts tracking SAMD is "buy"; median target price 195 rupees - LSEG data

(Reporting by Bharath Rajeswaran in Bengaluru)

(([email protected]; +91 9769003463;))

Aug 13 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON INTERNATIONAL Q1 CONSOL NET PROFIT 9.94 BILLION RUPEES; IBES PROFIT EST. 9.51 BILLION RUPEES

• SAMVARDHANA MOTHERSON Q1 CONSOL TOTAL REVENUE FROM OPERATIONS 288.68 BILLION RUPEES; IBES EST. 283.74 BILLION RUPEES

Source text for Eikon: ID:nBSE7mGxZw

Further company coverage: SAMD.NS

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July 30 (Reuters) - Samvardhana Motherson International Ltd SAMD.NS:

• SAMVARDHANA MOTHERSON - TO CONSIDER RAISING OF FUNDS

Source text for Eikon: ID:nBSE38yPyc

Further company coverage: SAMD.NS

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