Craftsman Automation Limited , a prominent player in the Indian manufacturing sector, has made significant progress in its Chennai expansion plans through a strategic acquisition by its wholly-owned subsidiary, DR Axion India Private Limited.

Major Acquisition for Land Procurement

DR Axion India has entered into a Share Purchase Agreement on December 19, 2025, to acquire 100% equity shares of Suprash Developers Private Limited along with its wholly-owned subsidiary, Srikara Technologies Private Limited. This acquisition provides access to crucial land assets for the previously announced Chennai manufacturing plant.

Strategic Land Assets

The acquired Special Purpose Vehicles (SPVs) collectively own 52.83 acres of strategically located industrial land at Araneri Village, Sriperumbudur Taluk, Kancheepuram District. Both companies are primarily engaged in developing, leasing, and licensing of industrial projects, making them ideal vehicles for DR Axion's manufacturing expansion plans.

Original Expansion Plan Context

This acquisition directly supports the company's earlier announced expansion plan for establishing a new manufacturing plant in the Chennai Metropolitan Area with an estimated investment of ₹280.00 crore. The original expansion details include:

Corporate Structure Impact

Upon completion of the transaction, Suprash Developers will become a wholly-owned subsidiary of DR Axion India, while Srikara Technologies will become a step-down subsidiary. Consequently, both entities will fall under Craftsman Automation's corporate umbrella as step-down subsidiaries.

Industry Significance

This acquisition represents a crucial milestone in Craftsman Automation's capacity expansion strategy, addressing the full utilization of its existing Othappai facility in Thiruvallur. The secured land assets provide the necessary foundation for the company's anticipated growth in aluminium products demand across automotive and industrial sectors. The strategic location in Sriperumbudur, known for its robust industrial infrastructure and automotive manufacturing ecosystem, positions the company advantageously for future operations.

Craftsman Automation Limited , a prominent player in the automotive and industrial engineering sectors, has marked a significant milestone in its expansion journey. The company officially commenced commercial operations at its new manufacturing facility located in Shoolagiri, Hosur, on October 16, 2025.

Key Details of the New Plant

This strategic move aligns with Craftsman Automation's growth plans, which were initially disclosed to stakeholders on January 29, 2025. The company's decision to establish this new manufacturing unit underscores its commitment to expanding its production capabilities.

Implications for Stakeholders

The launch of this new facility may have several implications for the company and its stakeholders:

1. Enhanced Production Capacity: The new plant could potentially boost Craftsman Automation's overall manufacturing output.

2. Technological Advancements: While specific details about the plant's capabilities are not provided, new facilities often incorporate the latest technologies.

3. Employment Generation: The establishment of a new manufacturing unit typically creates job opportunities, potentially contributing to local economic development.

4. Strategic Location: Hosur, known for its industrial ecosystem, particularly in the automotive sector, may provide Craftsman Automation with strategic advantages in terms of supply chain and logistics.

As Craftsman Automation continues to expand its operational footprint, investors and industry observers will likely monitor how this new facility impacts the company's performance and market position in the coming quarters.

The company's disclosure of this development, in line with SEBI regulations, demonstrates its commitment to transparency and timely communication with its stakeholders.