Sumitomo Wiring Systems sells 3.4 pc stake in Samvardhana Motherson International

Japan's Sumitomo Wiring Systems, along with a subsidiary, has offloaded a 3.4 per cent stake in Samvardhana Motherson International, according to a regulatory filing on Thursday.

Sumitomo Wiring Systems (SWS) and its wholly-owned subsidiary HK Wiring Systems Ltd (HKWS) jointly held 17.72 per cent shares of Samvardhana Motherson International Ltd (SAMIL).

''Today, SWS has sold a 3.4 per cent shares held in SAMIL through bulk deal at stock exchange in India as part of global deleveraging strategy to fund partial debt prepayment in the rising interest environment,'' SAMIL said in the filing.

With the above sell-out, SWS' holding in SAMIL has come down to 14.32 per cent, it added.

SWS was the first JV partner of Motherson and promoter of SAMIL since its IPO in 1993.

This is first stake dilution of SWS in almost four-decade-long relationship.

The domestic firm said SWS firmly believes in SAMIL with a robust global growth potential ahead.

Accordingly, SWS will remain a promoter in SAMIL, it added.

SAMIL is a leading automotive suppliers for OEMs. It supports its customers from more than 300 facilities across 41 countries, with a team of over 1,50,000 professionals.

The group recorded revenues of USD 10.5 billion for FY22.

Shares of SAMIL closed 10.87 per cent down at Rs 68.45 apiece on BSE.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)