Remy International Inc. and Lucas-TVS Ltd. – an Indian manufacturer of automotive, commercial vehicle and two-wheeler starter motors, alternators and other small motors – have entered into a business co-operation agreement that includes cross-technology licenses, product sales, engineering support and supplier sourcing support.
The agreements will allow Remy to license certain products from Lucas-TVS for Remy to manufacture and sell around the world. Lucas-TVS will license certain Remy products to make and sell in India. In addition, both parties may buy and resell each other’s products.
John Weber, president and chief executive officer of Remy International, says this agreement will benefit both firms. Lucas-TVS will be able to leverage Remy’s product lineup and global customer relationships to reach more foreign customers who are investing in India, while Remy will take advantage of the Lucas-TVS product lineup and engineering capabilities to add new product. Weber says the companies also will work to support each other’s product sourcing efforts to optimize supplier relationships globally and reduce costs.
“Remy’s recognized technical and operational excellence provides the foundation to pursue opportunities for geographic expansion, product extensions and new business alliances,” Weber says. “This agreement with Lucas-TVS allows us to participate in India, the fastest-growing automotive market in the world. It creates an opportunity for Remy to work with Lucas-TVS to develop new products and allows both companies to extend their traditional markets.”