SKF India Group, a major auto parts manufacturer, has separated its automotive and industrial businesses. Following this demerger, the company will operate as two distinct units. Together, they plan to invest approximately ₹1,460 crore by 2030 to enhance capacity and establish new factories.
The industrial business demerger took effect on October 1, 2025, with approval from the Mumbai NCLT (National Company Law Tribunal). The new entity, SKF India (Industrial) Ltd, is expected to be listed on the stock market by November 2025, subject to regulatory approvals. Under this scheme, each shareholder of SKF India Ltd will receive a new share of SKF India (Industrial) Ltd. The original company will now concentrate on the automotive business, providing investors with opportunities in two separate growth stories.
The automotive unit will focus on India’s mobility transformation, including electric vehicles, hybrid models, premium segments, last-mile delivery, and advanced safety systems. The company will invest ₹410.510 crore by 2030 in Haridwar, Pune, and Bengaluru. The aim is to meet the increasing demand from OEMs (Original Equipment Manufacturers) and expand retail and service networks to become the preferred partner for automotive manufacturers.
The new company, SKF India (Industrial) Ltd, will focus on growth in the industrial sector, encompassing manufacturing, railways, renewable energy, cement, mining, and metals. These sectors are playing a vital role in India’s energy transition and infrastructure development. This unit will invest ₹800.950 crore by 2030. Alongside channel expansion, a new manufacturing unit will be built in Pune by 2028.
SKF India’s business primarily revolves around rotating shaft technology, featuring bearings, seals, lubrication management, condition monitoring, and related services.
The demerger was initially approved by the board in the fourth quarter of FY24 and subsequently cleared by shareholders and regulators. The objective is to provide more focus to both businesses and create better value for investors.
