Pricol Ltd, a leading automotive technology and precision engineering products and solutions company, has approved the demerger of its Driver Information & Connected Vehicle Solutions (DICVS) business into Pricol Autotech Ltd, creating two independent listed business platforms.
Following the demerger, Pricol will focus on its Actuation, Control & Fluid Management Systems (ACFMS) and Pricol Precision Products Ltd (P3L) businesses, while Pricol Autotech will operate as a dedicated automotive technology company.
Shareholding structure
Under the scheme, shareholders will receive one share of Pricol Autotech for every one share held in Pricol.
Post demerger, existing Pricol will collectively hold 38.51% in Pricol Autotech, with the balance held by the public.
Rationale
The company said the restructuring would create a simpler and more agile corporate structure, enabling both businesses to pursue their respective growth strategies, respond faster to evolving customer requirements and technology trends, and create long-term value for shareholders.
Technology focus
Pricol Autotech will focus on smart mobility and integrated electronic solutions, including driver information systems, integrated infotainment systems, advanced e-cockpit solutions and connectivity products for two-wheelers, three-wheelers, passenger vehicles, commercial vehicles, off-highway vehicles and tractors.
The DICVS business generated a turnover of ₹2,424.63 crore in FY26, accounting for about 61% of Pricol’s consolidated revenue.
Leadership comment
“Over the years, our businesses have evolved into strong and differentiated platforms with distinct customer needs, technology priorities, capital requirements and growth opportunities. We believe this is the right time for each business to operate independently with dedicated leadership, sharper strategic focus and greater operational agility,” Pricol Chairman & Managing Director Vikram Mohan said.