RSB Group inks 51:49 JV with US' Team Industries

New Delhi, Mar 20 (UNI) RSB Group, an engineering and automotive components manufacturing company, today inked a 51:49 JV with US-based Team Industries Inc for setting up a plant in Pune at Rs 45 crore.

The plant at Sanaswadi will manufacture aluminium die casting continuous variable transmission (CVT) system and other transmission components and will cater to needs of Aluminium casting requirement of RSB Group. It will at the same time export parts and systems to Team Industries in the US.

''The investment for the JV will be spread over three years.

The turnover of this plant is expected to begin with Rs 20 crore in the first year and is likely to touch Rs 65 crore by the end of third year when full capacity utilisation will be realised,'' the RSB Group Chairman R K Behera said.

The JV with Team Industries has been signed to manufacture precision machined high pressure aluminium die casting CVT system, drive axle parts, transaxle parts, geared transmission parts, electric cart axle parts and other value added assemblies.

''Team Industries, with its established presence in the US and European market, will also provide the necessary synergy to market the products to other new customers. The JV will also use RSB's existing customer base to sell its products in India, apart from aiming to capture export opportunities to ASEAN countries,'' Mr Behera said.

This partnership will bring Team strategic advantage of low cost manufacturing in India, boost RSB Group turnover further and transform a component producer to aggregate supplier in a span of three years, he said.

Mr David Ricke, CEO of Team Industry said: ''The JV will provide RSB access to technology and market for a new series of value added products, it will offer Team Industries a more competitive source to service an expanded market and thereby improve bottom line and add volume.'' RSB Group's core competence in the auto component segment is axle and propeller shaft components and aggregates.

UNI