Mahindra & Mahindra is learnt to be keen to make a bid for the ailing Korean car manufacturer SsangYong Motor Company. Bidders had to submit their letters of intent by end of May.
The acquisition of Ssangyong may be a good fit for the Indian company in its quest to become a global player in SUVs and pick-ups. The Korean company has two plants, one of which makes SUVs such as the Rexton II and a luxury saloon called Chairman, and the other plant manufactures engines.
M&M may have to shell out up to $300 million to bid for Ssangyong, which has been attracting investments since December 17, 2009. China’s SAIC is the single largest shareholder in Ssangyong. Some years ago, M&M had planned to introduce the Rexton in India under a licensing agreement but that never materialised.
Thanks to: Autocar India