Cyient takes full control of Rangsons Electronics
Cyient has acquired the remaining 26% in Rangsons Electronics it did know own, for ~USD 60m. The name Rangsons Electronics may not ring a bell, as Cyient now reports the business under the name DLM.
Cyient has partly solved the difficulties of DLM: DLM has become a high-growth business with CC/CS revenue growth of 20%. DLM is now a USD 84m business that is back to growth with Cyient continuing to invest in the business, notably through M&As.
Cyient has an usual strategy in the industry with its S3 model. The company has moved into small series manufacturing, an usual move in the industry, where ER&D vendors tend to say on the service side and to a lower extent in the software product side.
With DLM, Cyient has shown that expanding from
One of the vendors that do this very well, is Ricardo, in the U.K., with the engines it builds for luxury and Formula One vehicles firm McLaren. One of the vendors that have gone through bankruptcy for going on the manufacturing side is Pininfarina, a legendary brand, now owned by Mahindra & Mahindra/Tech Mahindra.