VAN NUYS, Calif. (June 29, 2010) — Wheel maker Superior Industries International Inc. has acquired a minority stake in Synergies Castings Ltd., a privately owned aluminum wheel maker based in Visakhapatnam, India, and agreed to buy up to 26 percent of the company by year-end.
“We believe this is an excellent long-term investment opportunity, given the dynamic and growing automotive market in India,” said Steven Borick, chairman, CEO and president of Van Nuys-based Superior.
“Synergies is the premier player in the region and an accredited OEM aluminum wheel manufacturer,” Mr. Borick said, and has OE supply contracts with Toyota Motor Co. Ltd., General Motors Co., Chrysler Group L.L.C. and other major automotive manufacturers. Synergies is a 100-percent export-oriented company.
Superior bought a 8.7-percent stake in Synergies for an undisclosed price.
Synergies uses low-pressure die casting and customized copper-nickel-chrome electroplating technology to make and finish aluminum alloy wheels and other aluminum cast components, Superior said. Synergies lists capacity at 520,000 wheels a year of up to 24 inches in rim diameter.
Superior produces wheels at six plants in the U.S., Mexico and Hungary. Sales last year were $418.8 million, with General Motors Ford Motor Co. and Chrysler accounting for 82 percent.