Pritika Group, a leading North India-based manufacturer of precision-machined components for tractors and heavy commercial vehicles, has commenced commercial production of hydraulic lift housing and axle housing components for a prominent multinational tractor manufacturer in India.
This milestone follows the successful completion of inspections and trials at the customer’s end, paving the way for long-term business collaboration. The new components are expected to generate an annual revenue of approximately ₹18 crore, with visibility for continued orders spanning the next four to five years.
Driving Growth with Strategic Initiatives
The Pritika Group has been actively pursuing growth and expansion, underlined by strategic financial and operational initiatives. Pritika Auto Industries Ltd., the parent company, holds a 70.81% stake in its subsidiary, Pritika Engineering Components Limited. Both entities have received a stable credit rating from CARE Ratings Ltd., affirming their financial health.
To fuel its expansion, Pritika Auto Industries recently completed a preferential issue of equity shares, with proceeds directed toward scaling its manufacturing facilities. Additionally, the company announced a rights issue aggregating ₹49.90 crore, aimed at further funding its growth and reducing its debt over time.
Pritika Engineering Components Ltd. has also announced its own ₹49.90 crore rights issue to expand into railway component manufacturing while strengthening its existing business operations.
Expanding Capabilities and Market Presence
This new commercial production aligns with Pritika Group’s strategy to enhance its footprint in the precision engineering sector. By catering to high-profile clients and investing in expansion, the company is poised to capitalize on new opportunities in the automotive and rail sectors.