India-based product engineering and IT consultancy KPIT Cummings Ltd. has bought In2Soft GmbH, a German vehicle diagnostics company whose customers include BMW AG, Daimler AG and other automakers.
No financial terms were released on the deal, which was announced Wednesday.
Indian suppliers are increasing their presence in Europe by taking over companies that have special expertise or access to European automakers and suppliers.
The deal with In2Soft, whose automotive customers also include Volkswagen AG, Porsche AG, Robert Bosch GmbH and Continental AG, is part of KPIT Cummings' bid deepen its ties with German automakers and Tier 1 suppliers.
“Vehicle diagnostics are very high on automotive OEMs priority [lists] worldwide and we will now leverage the technology developed by In2Soft to service automotive OEMs across the U.S. and emerging markets in addition to Europe,” KPIT Cummins CEO Kishor Patil said in a statement. “With In2Soft we will build a local onsite and near-shore presence, which is essential for key German customers. We expect a very profitable synergy with In2Soft."
KPIT Cummins is not alone among Indian auto suppliers looking to increase their presence in Europe.
Apollo Tyres Ltd., India's leading tire maker, launched its brand in Europe this summer.
The company, which aims to win new business with BMW and VW Group, has had a presence in Europe since its May 2009 acquisition of Dutch tire maker Vredestein Banden BV, but the 34-year-old firm wants the Apollo brand to make a name for itself not only as a provider of original equipment tires but also replacement tires.
Apollo will enter the aftermarket this year in Germany, Netherlands and the UK and begin selling replacement tires Europewide in 2011.