India's Sona BLW touches 1-month high on China EV joint venture

Sona Blw Precision Forgings

21/07/2025 05:48

** Shares of Sona BLW Precision Forgings SONB.NS rise as much as 3.5% to 496.56 rupees, a one-month high; last up 2.3%

** Auto components maker announces strategic entry into the China electric vehicles market, establishing a joint venture with Jinnaite Machinery to build driveline systems and components for auto makers in China

** SONB says it will invest $12 million in JV

** Investec calls China entry "a step in the right direction," expects 4%–5% incremental sales

** JM Financial sees 16.7 billion rupee addressable market, maintains "buy" rating on growth prospects

** Average rating of 16 analysts tracking SONB is "buy"; median price target is 546 rupees -- data compiled by LSEG

** SONB shares down 19.3% in 2025, underperforming the 3.4% rise in mid-cap index .NIFMDCP100

 (Reporting by Bharath Rajeswaran in Bengaluru)

 ((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))