CHENNAI: Homegrown automobile manufacturer Force Motors on Tuesday announced that it has entered into a partnership with British locomotive giant Rolls-Royce Power Systems AG.
The partnership will see the two firms create a joint venture company and begin manufacturing engines for power generation and rail applications.
According to the company’s statement, it will produce completely built power generation systems and ancillary products and spares for both the Indian and global markets.
The joint venture company formed by the agreement will also invest in a dedicated factory for the company at Force Motors’ premises in Chakan, near Pune.
The diversification, while still within Force Motors’ comfort zone, saw the company’s shares soar by as much as five per cent on the stock exchanges. Following the report, the stock surged 5.18 per cent to hit a high of Rs 4,300 on the BSE. It later settled to close the day up by 3.32 per cent (Rs 4,223.85).
Force Motors is an integrated automobile company, which focuses on design, development and manufacture of automotive components, aggregates and vehicles with its headquarters in Pune, India.
The company offers small commercial vehicles, multi-utility vehicles, light commercial vehicles, sports utility vehicles, and agricultural tractors.