Deal typeGrowth capital
On the move
Increasing disposable incomes and a growing middle class across emerging markets has provided a fillip to the global two-wheeler market. With the world’s youngest population, weak public transport infrastructure and the ultimate aspiration of the emerging consumer class to own a means of transport, India is the world’s second largest motorcycle market.
Endurance has positioned itself to capitalise on this growth opportunity: it supplies high end critical components to the country’s largest two and three-wheeler manufacturers including Bajaj, Yamaha, Suzuki, Honda and the iconic Royal Enfield.
Established in 1985, Endurance is one of India’s largest auto component manufacturers and comprises Endurance Technologies and subsidiaries HTTS (India), Amann Druckguss (Germany), Fondalmec (Italy) and a joint venture with Magnetti Marrelli in India.
The company makes a range of auto parts including aluminium die-cast engine and transmission components, suspensions, transmissions and brakes. The Indian auto components industry is expected to grow from US$35 billion in 2014 to over US$100 billion by 2020, having already grown from US$6.7 billion in 2004, with exports reaching US$40 billion amid continuing globalisation of the auto supply chain. Additionally, India is fast emerging as a global hub for the manufacture of two-wheelers. Endurance also supplies high-end engine and transmission components to a host of major global manufacturers in the commercial and passenger vehicle sector, including premier car marques Daimler, Audi, Fiat and Porsche.
In 2011, Actis invested US$71 million in Endurance. We have since been working with the company’s highly experienced management team, led by founder and managing director, Anurang Jain, to build on its success and technological expertise. Actis has helped Endurance to develop the aftermarket segment, which is a large and profitable segment that remains underpenetrated by the Company. We have also brought on board an external sales consultant to support the aftermarket team by strengthening processes and training personnel and used our growth markets network to facilitate introductions in Egypt and Indonesia for future business opportunities.
The company now has a global footprint, with 19 manufacturing facilities in the major auto hubs of India, Germany and Italy. Our vision is to cement Endurance as the component partner of choice for the world’s leading vehicle manufacturers.