Stoneridge amends Minda JV agreement to expand in Asia

Stoneridge, Inc. has recently announced that it has enhanced its current joint venture agreement with the Minda Group to add Stoneridge sensor technology and products in India which will enable the Company to accelerate its expansion in fast-growing end markets in Asia. The initial stages of the agreement will allow the joint venture to expand its product offering by manufacturing, distributing and selling various speed, low- and mid-temperature, position and level sensors, as well as utilize applicable technical information licensed by Stoneridge. The products will serve the commercial vehicle and 2-3-4-wheel product markets. As the market expands into more sophisticated products, the joint venture will expand its product offering by manufacturing, distributing and selling various high-temperature and other sensor products also utilizing applicable technical information licensed by Stoneridge, Inc. The products will serve the commercial vehicle and four-wheel (car) product markets. Stoneridge will be paid royalties from the Minda/Stoneridge joint venture for these more technically advanced products. Minda will now be able to expand its product offerings beyond instrumentation and gauges into the sensor markets, and sales of these products will be limited to the India, southern Asia and Indonesia regions. Minda's annual sales are expected to increase to US$ 50 million to US$ 75 million within the next two to three years, compared with US$ 33.4 million in 2010. "Minda has been a valued partner to Stoneridge since 2004, and the joint venture has played an important role in our strategic global expansion," said John Corey, president and chief executive officer of Stoneridge. "As we move forward under our new agreement, our expanded relationship with Minda will help us continue to take advantage of our outstanding growth opportunities in the Asian markets." It is to be mentioned that Stoneridge, Inc., headquartered in Warren, Ohio, is an independent designer and manufacturer of highly engineered electrical and electronic components, modules and systems principally for the medium- and heavy-duty truck, automotive and agricultural and off-highway vehicle markets.