Motherson To Acquire Nexans AutoElectric Wiring Harness Business

Samvardhana Motherson International Limited (SAMIL), is pleased to announce that it has entered into exclusive negotiations through - its material subsidiary Motherson Global Investments B.V. (MGI B.V.) to potentially acquire 100% of the global wiring harness business of Nexans autoelectric GmbH (“AutoElectric”), subject to employee consultation and necessary regulatory approvals. The enterprise value of the transaction is € 207 million on a cash and debt-free basis, with the actual payout to be determined based on closing adjustments.

AutoElectric is an approx. 60-year-old global manufacturer of automotive wiring harnesses for both passenger and commercial vehicles. The total revenue of AutoElectric for CY 2024 was Euro 749 million. The PVs contributed approximately 81% while CVs contributed 19% to CY 2024 revenues. Its product portfolio spans low-voltage and high-voltage powertrain harnesses, body harnesses, speciality harnesses, and components. The company is well-positioned for evolving powertrain mixes, including ICE, hybrid, and EVs. AutoElectric operates 22 facilities in 11 countries -supported by more than 800 engineers and a highly skilled workforce of over ~13,000 employees.

The potential transaction would create a globally scalable platform for Motherson in the wiring harness business across passenger vehicles and commercial vehicles. The combined business will benefit from driving rapid innovation across various powertrains, sharing of best operational practices and combined development of next-generation products across PVs and CVs while ensuring agility and competitiveness.

The potential transaction is expected to be cash EPS accretive and remains subject to consultation with employee representatives and receipt of required regulatory approvals, with closure expected by Q1FY27.

Mr Vivek Chaand Sehgal, Chairman of Motherson Group, said, 

“This acquisition is a significant milestone for Motherson. It will enable us to support our key customers with wiring harness solutions and expand our global footprint to additional locations. We believe that our executional capabilities, combined with AutoElectric’s strong engineering capabilities and customer relationships, will drive innovation and sustainable growth. We look forward to welcoming all new members of AutoElectric into the Motherson family.”