Don’t miss the latest developments in business and finance.

Mahindra & Mahindra announces change in its voting rights in Sampo Rosenlew Oy, Finland

Image
Capital Market
Last Updated : Sep 24 2020 | 8:50 PM IST
Mahindra & Mahindra announced that the company has converted 480 Compulsorily Convertible Preference Shares of Sampo Rosenlew Oy, Finland, an Associate of the Company (Sampo) into 1,440 equity shares and exercised a Call Option to acquire 633 equity shares from the owners of Sampo. Pursuant to the said transaction, the voting rights of the Company in Sampo would increase from 49.14% to upto 74.97%, and Sampo would become a subsidiary of the Company.

Harvesting machinery is the second largest category in the global farm equipment industry. Mahindra's scale in tractors and Sampo's expertise in combine harvesters allows both companies to offer a broader product portfolio to address the needs of farmers in various countries.

In India the combine harvester market is currently much smaller than tractors but is growing rapidly with the penetration of mechanisation. It is imperative that the Company builds a strong position in this product line for India and other export markets.

Sampo is the global engineering center for the Company's harvester product line. Also various new product development programmes are underway with both the engineering teams working jointly.

Post conversion of CCPS and acquisition of shares as mentioned above, Sampo would become a subsidiary of the Company.

Powered by Capital Market - Live News

Also Read

First Published: Sep 24 2020 | 8:21 PM IST

Next Story