India’s engineering and electronics sector Amber Group has purchased a controlling stake in Israel’s Automation Technology Company Unitronics (1989) (RG). This acquisition has been done through Amber’s subsidiary Il Jin Electronics India. The purpose of this deal is to strengthen the electronics division of Amber in the industrial segment.
Through this acquisition, Unitronics will now take advantage of the manufacturing strength of IL JIN and the network spread across India. Its objective is to increase operational love, intensifies innovation and strengthen its position in India. Also, Amber will find a way to enter markets like America and Europe, where the demand for Industry 4.0 and real-time data technology is increasing rapidly.
What does Unitronics do?
Unitronics is a well-known company in the field of industrial automation. This company supplies its products and solutions all over the world. Its 55% revenue comes from the US and 40% from Europe.
The company develops unicloud such as Plcs (Programmable Logic Controllers), HMIS (Human Machine Interface), VFDs (Variable Frequency Drives), Servo Drives and SAAS platforms, grow, manufacture and sell unicloud.
In 2024, Unitronics had a turnover of $ 57 million, with 30% Ebitda margin and the market value was estimated at $ 110 million.
What is going to change for Amber?
The Amber Group will now take advantage of the technology and international access of the unitronics and further the backward integration in India. This will not only reduce the cost, but the products will also be more competitive.
Amber’s CEO says that with this acquisition, the company’s electronics business will reach new heights in the industrial application segment.
What is the business of Amber Enterprises?
Amber Group is a major B2B manufacturing company in India, which works in three major sectors – Consumer Durables, Electronics (EMS) and Railways and Defense Systems. The company has more than 30 manufacturing units across the country.
Talking about stock, the stock of Amber Enterprises has fallen 3.8% in the last five business days. However, it has given 7.5% return in the last one month and 9% in six months. This stock has climbed 66% in a period of one year, which has earned good earnings to investors.
How will India benefit from this deal?
- Industrial automation and smart manufacturing will get new force in India
- Amber’s manufacturing capacity and technology of unitronics will be synergy
- Export path will open in big markets like America and Europe
- Industry 4.0 and real-time data solutions will be rapidly expanded in India