Daifuku Acquires India-based Material Handling Equipment Manufacturer

Establishing a localized manufacturing network for the booming Indian market

0
808

April 6, 2019 – Daifuku announced that it has completed its acquisition of India-based Vega Conveyors & Automation Private Limited (“Vega”). Vega is involved in the consulting, design, manufacture, installation and after-sales service of conveyors and other material handling equipment within its domestic Indian market.

In recent years, the robust growth of the Indian economy has brought a surge in needs for automation within the manufacturing and logistics sectors. Accordingly, in September 2016, Daifuku established a sales office in Mumbai for the Factory and Distribution Automation (FA&DA) Division of Indian subsidiary, Daifuku India Private Limited. Now, underpinned by strong demand, and as equipment for customers in India must be manufactured and shipped from Japan, there is a growing need to establish a localized manufacturing network in India.

Generating synergy with Vega’s development and manufacturing bases, Daifuku aims to expand its business in India and other markets within Asia and Oceania by leveraging its technology and expertise cultivated through global business development.

“We are excited to be part of the Daifuku Group, the world’s top manufacturer and supplier in the material handling industry,” said Garimella Srinivas, Managing Director of Vega. “We look forward to sharing resources and improving our services to the Indian market.”

“Daifuku is committed to the Indian market and supporting Vega employees and customers,” said Kanji Anno, Daifuku Co., Ltd. Managing Officer and General Manager of FA&DA Global Operations. “Consolidating our expertise and capabilities with Vega will allow for the expansion of our manufacturing and distribution business segments within Asia.”

Vega’s office, factory and technology center will remain at their existing locations in India.

Overview of Vega Conveyors & Automation Private Limited

Location: Hyderabad, India
Representatives:

Garimella Srinivas (Managing Director)
Sri Ranga Sai Srinivas Vavilala (Chief Operating Officer)

Established: October 1999
Business: Conveyor and other material handling equipment design, manufacture, installation and after-sales service
Employees: 73 (as of March 31, 2019)