Piramal Alternatives has invested Rs 125 crore in JRG Automotive Industries to support the automotive components manufacturer's expansion strategy, as the company looks to increase production capacity and broaden its product portfolio amid rising demand from original equipment manufacturers (OEMs). The investment has been made through Piramal Alternatives' India Credit Opportunities Fund II (PCF II).
The fresh capital will be deployed towards expanding manufacturing infrastructure, diversifying product offerings and supporting strategic growth initiatives, including potential acquisitions. The transaction marks the fourth investment by PCF II, a sector-agnostic fund focused on high-growth mid-market companies with an investment horizon of three to four years.
Founded in 2012 and headquartered in Gurugram, JRG Automotive manufactures powertrain-agnostic injection-moulded plastic components for two-wheelers and passenger vehicles. The company operates eight manufacturing facilities across major automotive hubs in North, West and South India and supplies components to leading OEMs. It has also established joint ventures with global component manufacturers to expand into newer product segments.
Pawan Goyal, Managing Director, JRG Automotive Industries India, said the funding would accelerate the company's growth through both organic expansion and strategic acquisitions while strengthening its ability to meet increasing domestic and global demand.
Kalpesh Kikani, Chief Executive Officer of Piramal Alternatives, said JRG Automotive's established relationships with OEMs, ability to increase content per vehicle and expansion into new product categories position the company for sustained long-term growth.
For Piramal Alternatives, the transaction reinforces its strategy of backing high-growth manufacturing businesses through flexible credit solutions. The firm's first India Credit Opportunities Fund, with a corpus of Rs 2,100 crore, has been fully invested across 17 companies, with 13 investments already exited.
The latest investment reflects growing investor confidence in India's automotive supply chain, particularly component manufacturers that are expanding capacity, diversifying products and positioning themselves to benefit from rising vehicle production and export opportunities. |
