Mahindra & Mahindra's SsangYong acquisition is almost done, pays $ 463 million for 70% authority

Mahindra & Mahindra (M&M) Indian leading SUVs maker on 23 Nov said it has signed a definitive agreement with Korean(South) Automaker SsangYong Motor Company (SYMC) to acquire 70 percent stake for $463 million which include $378-million of new SsangYong stocks and $85-million of SsangYong bonds.

M&M said it acquisition may be done by end of March 2011.

Recently, Mahindra & Mahindra (M&M) has received a green signal from the court in Seoul and the company has also reached to an agreement with the SsangYong labour union.

Mahindra & Mahindra (M&M) has signed a tripartite agreement that contains provisions for employment protection, long-term investment and commitment for no labor dispute. SsangYong is likely to retain Korean management after the acquisition.

"The coming together of Mahindra and SsangYong will result in a competitive global UV player. Together with its financial capability, Mahindra offers competence in sourcing and marketing strategy while SsangYong has strong capabilities in technology," M&M president (automotive & farm equipment sectors) Pawan Goenka said.

He said there was also an opportunity to introduce a premium portfolio of SUVs in the Indian market, providing a new growth avenue for SsangYong and "further strengthen our dominant position in the UV segment".

SsangYong Motors is a major manufacturer of sports utility vehicles (SUV) and recreational vehicles (RV), thus giving Mahindra & Mahindra (M&M) a wide market to make mark.

Src: [NDTV]

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Mahindra & Mahindra starts its 2 wheeler campaign with low segment Stallio and high segment Mojo

Mahindra and Mahindra one of the successful SUV sellers in India accelerates with its two wheelers plan to grab the 2-wheeler market share where Hero-Honda and Bajaj are dominant.

At press event, Mahindra 2 Wheelers� Stallio and Mojo motorcycles made their debut in which Stallio is targeted to common man where as the powerful Mojo which is power-bike is targeted to youth who craves for the power.

�In the last twelve months Mahindra 2 Wheelers has achieved a milestone by registering a sale of 1.5 lac units � a clear validation of the success of our niche PowerScooters strategy. We are now all geared up to redefine the biking experience in India with the Stallio and the Mojo which are a potent blend of global technology and innovation and will take the category to the next level,� said Mr. Anand Mahindra, Vice Chairman and Managing Director, Mahindra Group.

�These world class bikes are worthy additions to the Mahindra 2 Wheelers product portfolio and are part of our commitment to establish a robust, end-to-end two wheeler business in every segment of the industry,� said Mr. Anoop Mathur, President Two Wheeler Sector and Member of the Group Executive Board, Mahindra & Mahindra Ltd.

�Both bikes incorporate world class R&D and design elements from our Bologna, Italy based design house, Engines Engineering and are best suited for Indian biking conditions.

Mahindra Stallio is 110 CC segment bike having an engine displacement of 106.7 cc, gives a max power of 5.4 KW (7.3 PS) @ 7500 rpm and has a Max torque of 8.0 N-m @ 5500 rpm. It is available in two variants � Self Start / Cast Alloy wheels / Digital Console and Kick Start / spoke wheels which are available at Rs.44,699/- and 41,199/- (ex showroom Pune), respectively. The Stallio is available in a choice of five shades � Derby Red, Colt Black, Equus Blue, Buckskin Yellow and Ranch Green.

And the best thing is that it is endorsed by Mr.Perfectionist Aamir Khan.

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The Raw looking Mahindra Mojo is having an engine displacement of 292 CC, powered by Single Cylinder, Liquid Cooled, 4 Valves � Direct Drive, SI Engine gives a Max power of 19.3 kW @ 8500 rpm and has a Max Torque of 24 N.m @ 7000 rpm . It also features a 6 speed gearbox, Electronic Fuel Injection (EFI) system has been developed by Ducati Energia of Italy.

The Mojo sports inverted front shock absorbers developed by Paioli of Italy, which ensures superior shock absorbing ability at high speeds. This is complemented by a horizontally mounted mono shox at the rear, allowing for much more comfortable ride. Radially mounted assembly also helps in accurate braking.

The Mojo is the first ever motorcycle in India to sport Pirelli tubeless radials. They are also the widest tyres in their class (4� x 17� at the rear), ensuring greater stability, priced at Rs. 1.75 lac/- (ex showroom Pune). The Stallio will be available at 370 Mahindra 2 Wheelers dealerships across the country. The Stallio comes with a four year manufacturer�s warranty. The distribution model for Mojo will be different and therefore, would be available only in select outlets.

The Mojo is available in a choice of two colours � red and black.



Both bikes incorporate world class R&D and design elements from our Bologna, Italy based design house, Engines Engineering and are best suited for Indian biking conditions.

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India's Mahindra is all set to end up ties with Global Vehicles as U.S. importer

India's Mahindra & Mahindra Ltd. has said that they are breaking ties with Global Vehicles U.S.A. Inc., which use to distribute Mahindra's Vehicles in US. This development appeared a few days after receiving a key U.S. government approval to sell its small-engine diesel pickups in the United States.

The certification from the EPA last week came after repeated delays in the launch date.

Mahindra posted news of its break with Global on its Web site today.

In a statement Thursday, Global called the claim �inaccurate.�


Global acknowledged that Mahindra has attempted to terminate the agreement, but warned that �such attempted termination is invalid under applicable laws of the United States and the State of Georgia, something which Mahindra continues to disregard.�

Global has been battling Mahindra in court to prod the Indian company to commence U.S. operations.

In a separate statement issued Thursday to Automotive News, Global Vehicles spokesman Max Butler said the company intends to begin selling Mahindra pickups and is �in the process of taking orders and updating all floor plan agreements in anticipation for Mahindra to provide Global Vehicles with the initial production date.�

The statement by Mahindra hangs a question mark over the 300 to 350 U.S. retailers who have signed franchise agreements directly with Global Vehicles, if the Alpharetta, Ga., company no longer is the distributor.

Nor is it clear that Mahindra has the power to terminate the agreement without a court fight.

Source and inputs by Automotive News

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