M&M in talks with German Co for majority stake
Automaker Mahindra & Mahindra Ltd today said it is in talks with the promoters of Germany-based Schoeneweiss & Co GmbH to acquire a majority stake.
In a communique on the Bombay Stock Exchange, M&M said that in anticipation of the proposed acquisition of a majority stake from the promoters of the foreign forging firm, it has approached the German authorities for approval.
Under German laws, any company proposing to acquire a firm in the country is required to seek approval from the Federal Cartel against restraint of competition, it added.
The proposed acquisition is subject to finalisation of transaction structure, fulfillment of certain condition precedents and other corporate regulatory approvals as may be required.
Earlier in September, M&M had announced that its subsidiary has agreed to acquire 67.9 per cent stake in Jeco Holding AG, one of the top five forging companies in Germany for a sum of enterprise value of about 140 million euros, subject to approvals. PTI
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