Wheels India (NSE:WHEELS, BOM:590073) has signed a technical assistance agreement with Japan-based Topy Industries (TYO:7231) for the design and manufacture of aluminium alloy wheels, according to an Indian bourse filing on Monday.

Under the agreement, Topy will provide technical and engineering support for Wheels India's cast aluminium wheels business, the filing said.

Shares of the company jumped over 6% in recent trade.

The company said it has also secured new aluminium wheel orders from Hyundai and Volkswagen, with supplies expected to begin next year.

Wheels India further said it is expanding annual capacity at its Thervoi Kandigai alloy wheels plant to 700,000 wheels from 500,000 wheels, with completion expected by the end of the next quarter.

The company plans to further raise capacity to 1 million wheels per annum, with the expansion targeted for completion by the end of fiscal 2027, the filing said.