Uno Minda Approves Four Projects Worth INR 1,415 Crore

Auto component manufacturer Uno Minda Limited has approved four manufacturing projects involving a combined capital expenditure (Capex) of approximately INR 1,415 crore. The company’s board approved the Detailed Project Reports (DPRs) for projects across Haryana, Tamil Nadu, Karnataka and Maharashtra, citing business growth and increasing customer demand as key drivers.

In Haryana, Uno Minda will invest around INR 155 crore to set up a two-wheeler alloy wheel plant in Kharkhoda. The facility will have an annual capacity of 1.3 million wheels, taking the company’s total two-wheeler alloy wheel capacity to 9.3 million units per year. The project will also involve the relocation of 2 million units of existing capacity from Supa, Maharashtra, with start of production (SOP) targeted for Q4 FY2028. In addition, the company will establish a new greenfield casting facility in Hosur, Tamil Nadu, with an estimated investment of INR 510 crore and an annual capacity of 20,557 MT.

At its Bengaluru facility, subsidiary Uno Minda Kyoraku Limited will undertake a capacity expansion involving an estimated investment of INR 80 crore. The project will add 1.38 million units to the existing annual capacity of 3.28 million units, which is currently operating at around 91.9% utilisation. SOP is targeted for Q1 FY2028. Separately, Toyoda Gosei South India Private Limited will invest around INR 670 crore to establish a facility in Chhatrapati Sambhajinagar, Maharashtra, for manufacturing automotive interior and exterior products, airbags, hoses and body sealing parts.

For funding, the board approved the issuance of listed Non-Convertible Debentures (NCDs) of up to INR 600 crore in one or more tranches. The company can also issue Commercial Papers of up to INR 500 crore under a revolving limit. The tenure, coupon and security terms of the NCDs will be determined by the company NCD Committee.

According to the company, all four Capex projects will be funded through a combination of term loans and internal accruals. The investments are expected to strengthen Uno Minda manufacturing capacity across multiple automotive component categories and help the company meet future customer demand.