- 31 Oct 2022
- ICICIdirect Research
MINDA CORPORATION EXECUTES TECHNOLOGY LICENSE AGREEMENT IN ADAS DOMAIN
MINDACORP - 504 Change: -3.30 (-0.65 %)News:
The company has entered into a technology license and technical assistance agreement dated October 28, 2022 (Agreement) with Daesung Eltec (licensor) Korea for manufacturing around view monitoring system (AVM), advanced driver assistance system (ADAS) including driver monitoring system (DMS), lane departure warning system (LDWS), forward collision warning system (FCWS) for passenger vehicles & commercial vehicles and NeoDAS for off-road vehicles segment
View:
These tie-up is in advance electronics space belong to one of the most upcoming technology/feature desired by new age tech savvy customers. Since it is a Korean partner, it should primarily cater to the needs of Korean auto OEMs like Hyundai and Kia, which are performing well domestically, especially in the SUV space. As part of this agreement, the company is liable to pay one-time lump sum fee and royalty fee. It bodes well for the company with significant scope for content increase with Minda Corporation most likely being the first Indian company to indigenously manufacture these tech products
Impact:
Positive.