Mahindra Acquires 51% Stake In Peugeot Motocycles
Mahindra Two Wheelers Ltd. (MTWL), part of the USD 16.5 billion Mahindra Group and Peugeot Motocycles (PMTC), part of the Euro 54 billion PSA Group based in France announced today that they have completed the necessary formalities for MTWL’s 51% acquisition in PMTC. PMTC (a.k.a. Peugeot Scooters), a key player in the urban mobility in Europe for 116 years, is the oldest motorized two-wheeler manufacturer in the world.
Peugeot Scooters offers one of the most comprehensive range of scooters and mopeds, from 50cc to 400cc, including the successful three wheeled scooter – Metropolis, in the European market. This project was announced on October 7, 2014. The acquisition, which resulted in the satisfaction of all regulatory, legal and financial conditions of the agreement, was completed smoothly by both parties within a very short span of time.
As part of the employee dialogue process and Anti-trust law, the Works Council consultation process has also been successfully completed. Speaking on the completion of the acquisition, Dr. Pawan Goenka, Executive Director, Mahindra & Mahindra Ltd. said, “At Mahindra, we are committed to the long term growth of Peugeot Motocycles and are confident that this relationship would be one of mutual respect, trust and learning. This partnership would enable both MTWL and PMTC to speed up their international expansion by driving synergies and leveraging respective strengths. It is our intention to work closely to enable a win-win for both partners”. So does this mean, we would have more of Peugeot scooters in India, let’s wait and watch!