Ford Motor Co. is intending to transfer its Indian assets to a joint venture with Mahindra & Mahindra Ltd.
Ford had entered the Indian market with a 50:50 joint venture with Mahindra in 1995. Subsequently, the Detroit-based automaker increased its stake to 72 per cent.
If the new deal goes through, Mahindra will own 51 per cent of the new entity.
Ford will, however, get equal voting rights and board representation, according to media reports. The joint venture will not include Ford’s global business services division or an export-focused engine plant in Sanand, Gujarat.
As per the deal, Ford will get a compensation of something less than the $2 billion it has invested in India. It will also help Ford stay in the game while letting Mahindra share the financial burden.
The auto industry in India is facing a tough time with sales at its lowest in a decade. Even General Motors scrapped a $1 billion investment plan two years ago and stopped selling Chevrolet here.
Bhubaneswar: The Election Commission of India (ECI) on Thursday ordered the transfer of secretary of…
Mumbai: Everyone in India is a cricket expert and has an opinion on every debatable issue…
Bhubaneswar: The Central leaders of BJP have moved the Election Commission of India (ECI) against…
New Delhi: The process of granting citizenship under the Citizenship (Amendment) Act [CAA] will start…
Bhubaneswar: Social Media monitoring cell of Odisha Police has blocked 292 offensive posts related to…
Baripada: Police have arrested a woman for allegedly killing her husband in Odisha’s Mayurbhanj district.…
Kolkata: In a sensational charge, a female employee of Raj Bhavan has accused West Bengal…
Keonjhar: At least 10 labourers were reportedly injured in an explosion in a steel plant…