JK Tyre & Industries Ltd has completed the merger of its subsidiary, Cavendish Industries Ltd, with the parent company, consolidating operations nearly a decade after acquiring the business from Kesoram Industries in 2016 .
Cavendish Industries operates manufacturing facilities producing truck and bus radial tyres, truck and bus bias tyres, and two- and three-wheeler tyres. At the time of acquisition, the subsidiary was operating at around 30 per cent capacity utilisation. Following the takeover, JK Tyre undertook a restructuring exercise, providing managerial, financial and technical support to streamline operations and improve efficiency .
According to the company, capacity utilisation at Cavendish’s plants has since increased to about 95 per cent. The Laksar facility also underwent capacity expansion, enabling the subsidiary to contribute more meaningfully to JK Tyre’s overall production volumes .
The merger is expected to generate operational synergies, including economies of scale, a broader and more diversified product portfolio, and improved reach through a unified distribution network. The integration aligns with JK Tyre’s long-term strategy of pursuing growth through a mix of organic expansion and acquisitions .
JK Tyre described the Cavendish integration as its third major turnaround, following earlier restructurings of Vikrant Tyres in the late 1990s and JK Tornel in Mexico in 2008. The company has also set up multiple greenfield manufacturing plants over the years as part of its capacity expansion strategy .
JK Tyre & Industries Ltd, the flagship company of the JK Organisation, ranks among the world’s top 20 tyre manufacturers. It operates 11 manufacturing facilities globally—nine in India and two in Mexico—with an annual production capacity exceeding 35 million tyres. The company serves passenger vehicle, commercial vehicle, farm, off-the-road, and two- and three-wheeler segments and exports to more than 100 countries .