India could emerge as the next sleeping giant in the automotive industry. This after Mahindra and Mahindra struck a deal to buy Ssangyong Motor of South Korea. Mahindra is the second Indian company to be attached to a relatively large foreign car brand following Tata Motor’s total acquisition of Jaguar and Land Rover two years ago.
The terms of the deal
have not been announced though it is thought Mahindra could pay around US$800 million (R5.9 billion) for a 100% stake in Ssangyong. According to the BBC, a Ssangyong statement read as follows:“We give the takeover candidate [Mahindra and Mahindra] an exclusive right for negotiation and won't be involved in any takeover-related activities with a third party.”
which basically means no one else is allowed to even sniff at the company at this point in time. Apparently Renault had also looked at Ssangyong. I’m surprised that Daimler did not give the company a greater push given the fact that in the past one would find Ssangyongs sporting Mercedes-Benz engines and the words “Powered by Mercedes-Benz” plastered all over the rear window. But I guess once Chryslered, twice shy…
Ssangyong is known for vehicles like the Korando, Musso, Actyon the Rexton and the Kyron.
1 comment:
SSANGYONG needs a new design team, their car are ugly. With Mahindra buying them well, its not going to get any better...
Post a Comment