OUR BUSINESS
We are a technology driven integrated supplier that develops complex engineering products and solutions for our original equipment manufacturer (“OEM”) customers. We are an independent tier 11 solution provider of axles, transmission systems and gears for the agricultural tractor and construction vehicle industries in India.
We support the full value chain of services as a solution provider for axles, transmission systems, gears and other related components with in-house product design manufacturing capabilities.
- Agriculture
- Construction
- Material handling
- Automotive industry
- Other applications
- Transmission systems
- Gears
- Tractors
Our Promoter, Carraro S.p.A., is the parent company of the Carraro Group which designs, manufactures and sells transmission systems (axles, transmissions and drives) mainly for agricultural and construction equipment for offhighway vehicles, in addition to marketing a wide range of gears for diverse sectors, from automotive to trucks to agricultural and construction vehicles. The Carraro brand is owned by Carraro S.p.A. and licensed to us pursuant to a licensing agreement with Carraro S.p.A.
our Company was among the pioneers to enter the agricultural tractor and construction vehicle component market with its dedicated R&D team and center.
We have been present in India for 27 years and have developed an extensive network with local and international customers and suppliers based in India. As an early-mover, we have had more time than our competitors to understand the market, identify customer needs and develop lasting customer relationships. As a result of our customized products,
we believe our customers are subject to high switching costs in case of a change of manufacturer.
We primarily manufacture axles and transmission systems for agricultural tractors and construction vehicles such as backhoe loaders, soil compactors, cranes, self-loading concrete mixers and small motor graders.
Our products are mission critical for our customers, as our products constitute important components of our customers’ final products.
We provide a diverse range of products including axles and transmission systems of different HP ranges for off-highway vehicles in the agricultural tractor and construction vehicle sectors, as well as gears, shafts and ring gears for industrial and automotive vehicles. The following graph sets out our offering of axles and transmission systems.
We also supply gears mainly used in industrial and automotive markets, spare parts which are primarily loose components of agricultural tractors and construction vehicles and other products which are non-core parts of agricultural tractors and construction vehicles.
our customer needs, leveraging the Carraro Group’s research and development (“R&D”) capability and knowhow to design and produce our products based on market trends, procuring materials at optimal costs from our supplier base and manufacturing our products in our own plants.
We own and operate two manufacturing plants in Pune, Maharashtra, India, which are the driveline manufacturing plant occupying a plot area of approximately 84,000 square meters and the gears manufacturing plant occupying a plot area of approximately 78,000 square meters.
we have a customer base of 38 customers in India our key customers which include leading domestic and international brands:
OBJECTS OF ISSUE
- General corporate purposes.
Qualitative Factors
1. One of the leading tier 1 suppliers of transmissions systems and a key supplier of axles in the agricultural tractor and construction vehicle industries in India with competitive moat for mission critical and complex driveline components.
2. Customer-centric, one-stop shop offering customized solutions to a longstanding OEM customer base.
3. Longstanding relationships with marquee local and international supplier base.
4. Strong, in-house R&D capabilities with proprietary IP rights to facilitate innovation of future-ready products.
5. Technologically advanced manufacturing plants with large production capacities.
6. Stable and experienced senior management team with strong industry knowledge and proven track record of growing the business and achieving margin optimization.
Comparison with Listed Industry Peers
- Escorts Kubota Limited .
- Schaeffler India Limited .
- Sona BLW Precision.
- Forgings Limited.
- Ramakrishna Forgings Ltd.
- Happy Forgings Limited.
- Action Construction Equipment Ltd
