Mahindra Finalizes The Ssangyong Acquisition!

By By: Vicky.in

Published: Thursday, March 17, 2011, 14:45 [IST]

The acquisition process of Ssangyong by M&M has come to the picture after the proper bidding scheme. This will entitle M&M to hold 70% share in the Korean firm as the payment of 3 million has been made as per the agreement.

With this investment from M&M the Korean company, will contribute Rs960 crore for installing product development and brand building.

The amount gets boosted from Rs800 crore made in 2010 while another Rs160 crore will be for brand building in its homeland. In all the increase of investment there will be four times made in 2010. Ssangyong Motor Corp will accrue this fund internally and will be relieved off the debts.

M&M"s President Automotive and Farm Sector said Ssangyong is not in urgent need for debts but can avail if needed. He said apart from the constitution of new board of six directors, there will be a new CEO for Ssangyong Motor Corp while CFO will be from M&M side.

Article Published On: Thursday, March 17, 2011, 14:15 [IST]

Read more on: #automobile #indian auto market #mahindra

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