ramkrishna forgings Ltd. — M&A Activity 2023

Jul 21, 2023

RAJESH Digitally signed by RAJESH MUNDHR MUNDHRA Date: 2023.07.21 A 16:47:08 +05'30'

Ramkrishna Forgings announces strategic acquisition of Multitech Auto Private Limited and its wholly owned subsidiary Mal Metalliks Private Limited along with Mal Auto Products Private Limited

July 21, 2023, Kolkata: The Board of Directors of Ramkrishna Forgings Limited (“Company”) , one of the leading suppliers of rolled, forged, and machined products has approved an investment to acquire Multitech Auto Private Limited (“Multitech Auto”) and its wholly owned subsidiary Mal Metalliks Private Limited (“Mal Metalliks”) with a capacity to manufacture 21,600 MT p.a of Machined SG & CI Castings. Multitech Auto also has the capacity for Bar Draw Facility of 6000 MT p.a. The company has also acquired Mal Auto Products Private Limited.

This acquisition marks a significant step forward in the Company's growth strategy, aimed at expanding its product line and fortifying its presence in the Passenger Vehicles, Light Commercial Vehicles, and Heavy Commercial Vehicles segments.

Multitech Auto and Mal Metalliks presently manufacture Assembly Top Cover, Shift Cylinder, Assembly Gear, Differential Case, Differential Cover, Various types of Hubs, Crank Case, King Pin, Cotter Pin, Spring Pins, Shifter Shafts, Steering Spindles, Falcrum Pins & Rollers for HCV Brakes.

By venturing into the production and supply of the entire differential assembly and trailer axle assembly consisting of Casting and Forgings, the Company is well-positioned to become a major player in the market. The addition of these new product lines is expected to contribute significantly to the company's financial growth, with an estimated turnover of Rs 500-600 Crores within the next two years.

Commenting on the acquisition Mr. Lalit Khetan, Whole Time Director & CFO, Ramkrishna

Forgings Limited said, "The strategic acquisition of Multitech Auto Private Limited and Mal Metalliks Private Limited marks a significant milestone in our efforts to fortify our market position and diversify our product offerings. With the integration of these companies, we are poised to strengthen our presence and deliver an enriched value proposition to our esteemed customers. This expansion opens a world of exciting opportunities for our future growth and success.”

In addition to bolstering the Company's product portfolio, this acquisition is projected to improve the company's financial performance and profitability.

Furthermore, the Company also plans to acquire Mal Auto Products Private Limited, which includes a strategic land parcel of 10 acres (approximately 4,30,000 sq. ft) at a value of Rs 15 Crores. This acquisition is part of the Company's vision for future expansion and reflects the company's commitment to long-term growth and innovation.

About Ramkrishna Forgings Limited

Ramkrishna Forgings was incorporated in 1981 with the objective to manufacture forged products. The Annualized installed capacity after commissioning of RA Shaft line, 5”upsetter, Hollow Spindle Line, a new 7000 Ton Press Line, a 2000 Ton warm/hot Forming Press, and a fabrication facility is 210,900 MT. Headquartered at Kolkata, the company has state-of-the-art manufacturing facilities at Jamshedpur along with offices at Detroit in USA, Toluca and Monterrey in Mexico, Istanbul in Turkey having warehousing facilities at Hagerstown, Louisville, Detroit in USA, Toluca, Monterrey in Mexico and Westerloo in Belgium. Over the years, the company increased its forging and die making capacities and added machining and heat treatment facilities, including isothermal annealing, which enabled it to undertake manufacturing of components for OEMs and Tier 1 companies. The Company is certified in

terms of TS 16949, OSHAS 18001 and ISO 14001 and is a manufacturer & supplier of closed die forgings of carbon and alloy steel, micro alloy steel and stainless-steel forgings which can be supplied in As Forged + Heat Treated + Machined and Fully assembled condition as per the customer's requirement. The Company is suppliers to various sectors like Automotive, Railways, Farm Equipment, Bearings, Oil & Gas, Power and Construction, Earth Moving & Mining, both in India & overseas markets. The Company is a critical safety item supplier for undercarriage, Bogie & Shell parts for railway passenger coaches and locomotives. It is a preferred supplier to OEMs like TATA Motors, Ashok Leyland, VE Commercial and Daimler in India and to Volvo, Mack Trucks, Iveco, DAF, Scania, MAN, UD Trucks and Ford Otosan in the overseas markets. It supplies globally to Tier 1 axle manufacturers like Dana, Meritor and American Axles.

About Multitech Auto Private Limited

Multitech Auto Pvt. Ltd. (MAPL) was incorporated in 1994 in Jamshedpur as a Machine Shop to supply high quality Machined item. Over the period of time, with our continuous investment in technology, training and our commitment to work, the company has been able to set up a wholly owned foundry and a cold drawing bring bar Unit. It is an IATF 16949:2016 certified company offering a wide range of hi-tech, machined, heat treated and ground automobile components from bars, castings, primarily for brakes, gear boxes, axle and suspension parts of commercial vehicles and railway. It has a state-of the art manufacturing facilities in Jamshedpur, equipped with CNC,VMC,HMC machines, heat treatment furnaces, Grinding Machines, Tool Room and Quality Assurance laboratories.

Safe Harbour

THIS INVESTOR RELEASE (IS NOT AN OFFER TO SELL ANY SECURITIES OR A SOLICITATION TO BUY ANY SECURITIES OF RAMKRISHNA FORGINGS LIMITED (THE “COMPANY”} OR ITS SUBSIDIARIES (TOGETHER WITH THE COMPANY, THE “GROUP’)

The material that follows is a Investor Release of general background information about the Company’s activities as at the date of the Investor Release or as otherwise indicated. It is information given in summary form and does not purport to be complete and it cannot be guaranteed that such information is true and accurate. This Investor Release has been prepared by and is the sole responsibility of the Company. By accessing this Investor Release, you are agreeing to be bound by the trading restrictions. It is for general information purposes only and should not be considered as a recommendation that any investor should subscribe to or purchase the Company’s equity shares or other securities. This Investor Release includes statements that are, or may be deemed to be, “forward looking statements”. These forward-looking statements can be identified by the use of forward-looking terminology, including the terms “believes”,“ estimates”,“ anticipates”,” projects”,“ expects”,“ intends”,” may”,” will’,” or “ or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, aims, objectives, goals, future events or intentions. These forward looking statements include all matters that are not historical facts. They appear in a number of places throughout this Investor Release and include statements regarding the Company’s intentions, beliefs or current expectations concerning, amongst other things, its results or operations, financial condition, liquidity, prospects, growth, strategies and the industry in which the Company operates. By their nature, forward looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. The factors which may affect the results contemplated by the forward-looking statements could include, among others, future changes or developments in the Group’s business, (the Group’s regulatory and competitive environment, and (political, economic, legal and social conditions in India or the jurisdictions in which our Group operates. Forward looking statements are not guarantees of future performance including those

relating to general business plans and strategy of the Company, its future outlook and growth prospects, and future developments in its businesses and its competitive and regulatory environment. No representation, warranty or undertaking, express or implied, is made or assurance given that such statements, views, projections or forecasts, if any, are correct or that the objectives of the Company will be achieved. There are some important factors that could cause material differences to Company’s actual results. These include our ability to successfully implement our strategy, changes in regulatory norms applicable to the Company, changes in technology, investment income, etc. The Company, as such, makes no representation or warranty, express or implied, as to, and does not accept any responsibility or liability with respect to, the fairness, accuracy, completeness or correctness of any information or opinions contained herein. The information contained in this Investor Release, unless otherwise specified is only current as of the date of this Investor Release. The Company assumes no responsibility to publicly amend, modify or revise any forward-looking statements, on the basis of any subsequent development, information or events, or otherwise. Unless otherwise stated in this Investor Release, the ‘information’ contained herein” is based “on” management “information and” estimates.” The information contained herein is subject to change without notice and past performance is not indicative of future results. The Company may alter, modify or otherwise change in any manner the content of this Investor Release without obligation to notify any person of such revision or changes. This document is just an Investor Release and is not intended to be and does not constitute a “ or “offer document” or a “private placement offer letter” or an “offering memorandum” or an “ ora solicitation of any offer to purchase or sell any securities. It is clarified that this Investor Release is not intended to be a document offering for subscription or sale of any securities or inviting offers from the Indian public (including any section thereof) or from persons residing in any other jurisdiction including the United States for the subscription to or sale of any securities including the Company’s equity shares. No part of it should form the basis of or be relied upon in connection with any investment decision or any contract or commitment to purchase or subscribe for any securities. This document has not been and will not be reviewed or approved by a regulatory authority in India or by any stock exchange in India. This document and its contents should not be forwarded or delivered or transmitted or disseminated in any manner to any person other than its intended recipient and should not be reproduced or copied in any manner whatsoever.

For further information, please contact:

Company: Ramkrishna Forgings Limited	Investor Relations: Orient Capital
Ramkrishna Forgings Ltd. CIN: L74210WB1981PLC034281 Mr. Lalit Kumar Khetan Whole Time Director & CFO Email: lalit.khetan@ramkrishnaforgings.com	Mr. Nikunj Jain/ Mr. Amar Yardi Email: nikunj.jain@linkintime.co.in / amar.yardi@linkintime.co.in Tel: +91 97737 78669 / +91 70451 21239