New Delhi (NVI): The Competition Commission of India (CCI) has approved formation of a joint venture between Mahindra & Mahindra and Ford Motor and the subsequent transfer of the automotive business of Ford India to the new venture.
In October last year, Mahindra and Mahindra have announced a joint venture with the Ford Motor Company and said it would buy 51 percent stake in Ardour Automotive Pvt Ltd for around Rs 657 crore.
The remaining stake of 49 per cent in Ardour Automotive would be held by Ford Motor Co or any of its affiliates.
The new venture would acquire the automotive business of Ford India Pvt Ltd (FIPL), a wholly-owned subsidiary of Ford Motor Co.
Both Ford and Mahindra will continue to have their separate brands and dealerships in India, but vehicles will be co-developed and the companies will strategically manufacture vehicles for each other.
The Mahindra group has diversified interests across various sectors including automotive, farm equipment, agricultural products and services, smaller range power generation equipment, financial services, information technology, logistics, alternative energy, aerospace, steel processing, trading, insurance broking, real estate and infrastructure, and hospitality.
FMC is an American automobile company. It has operations in various countries such as the United States, Canada, Mexico, China, the United Kingdom, Germany, Turkey, Brazil, Argentina, Australia, and South Africa. FIPL is indirect wholly owned subsidiary of FMC.