Indian carmaker Mahindra & Mahindra said that a deal to sell its bankrupt unit, SsangYong Motor Co, to South Korean electric carmaker Edison Motors Co had been terminated.
The receiver of SsangYong cited Edison’s inability to deposit the bid amount for the termination of the deal, Mahindra said in an exchange filing on Thursday.
Indian automaker Mahindra, which owned about 75% of SsangYong as of September end, has been looking for a buyer for all or most of its stake, which it bought when the South Korean automaker was on the brink of bankruptcy in 2010.
SsangYong has been under court receivership since last April in an attempt to rehabilitate the carmaker after Mahindra failed to secure a buyer.
In January this year, SsangYong Motor had said a consortium led by South Korean electric carmaker Edison Motors Co had agreed to buy it for 305 billion won ($254.65 million).