Samvardhana Motherson International Limited (SAMIL) has announced a strategic joint venture with Hellmann Worldwide Logistics (MESA) Holding Limited, a subsidiary of Hellmann Worldwide Logistics SE & Co. KG. This partnership aims to enhance supply chain solutions for the automotive industry globally, excluding Japan.
The joint venture will be operational through the incorporation of a new company in Dubai, UAE. SAMIL will hold a 51% stake in the joint venture company, while Hellmann will hold the remaining 49%. The collaboration seeks to deliver world-class third-party and fourth-party logistics services, thereby increasing resilience, efficiency, and stability in supply chains.
The board of the joint venture company will comprise six directors, with three directors, including the chairman, appointed by SAMIL, and the other three by Hellmann. The agreement includes rights and obligations customary to such transactions.
The joint venture will be established with an authorised share capital of USD 10 million and a paid-up share capital of USD 1 million, with both parties subscribing to the paid-up capital in their respective shareholding ratios.
This strategic move is not a related party transaction for SAMIL and aims to support customers with essential logistics requirements through integrated logistics solutions.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).