British billionaire Sanjeev Gupta is poised to buy 35 automotive component factories across India, Japan, Thailand and Spain in a rescue of Amtek Auto, signalling a big push into the automotive sector.
Mr Gupta said he intended to use his "Green Metal" strategy to revive Amtek Auto, which employs 6000 people across the world.
The process involves an end-to-end business model using renewable energy power generation to make metal manufacturing more efficient.
"This business will be the cornerstone of our strategy to bring GreenMetal to India and expand our footprint in the automotive sector worldwide," Mr Gupta said.
Billionaire Sanjeev Gupta is making a big push into the automotive sector globally and has aspirations to make electric cars in Australia.
Mr Gupta's GFG Alliance entity has been named the preferred bidder in the sale of Amtek Auto, which fell on hard times and was put up for sale in July by its bankers and a committee of creditors.
The other bidder was a US hedge fund called Deccan Value Investors, which has $3 billion in assets under management.
Mr Gupta said he wanted to ‘restore a great Indian business to its rightful position’.
Amtek provides engineered components to large vehicle makers around the world including Honda, Caterpillar, Ford, Renault Nissan, Tata Motors and John Deere.
It makes a variety of steel and aluminium parts including connecting rods, crankshafts, flywheels, engine blocks, cylinder heads and drive train components.
Mr Gupta also has aspirations to operate an electric car business. In January he outlined ambitious plans to establish an electric car manufacturing hub at the former Holden site in Adelaide.
GFG Alliance intends using a prototype developed by British firm Gordon Murray Design.
Gordon Murray Design is based in Shalford near Surrey in the United Kingdom and is a design and engineering company which specialises in low-volume production runs.