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Mahindra & Mahindra set to acquire of two Turkish companies

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Capital Market
Last Updated : Sep 20 2017 | 2:13 PM IST

Transactions expected to close in November 2017

Mahindra & Mahindra announced that on 20 September 2017, the Company has signed two Share Purchase Agreements for acquiring:

(i) 100% of the Share Capital of Erkunt Traktor Sanayii A.S.; and
(ii) At least 80% of the Share Capital of Erkunt Sanayi A.S. (which includes approx. 35% of Erkunt Sanayi A.S. which is held by Erkunt Traktor Sanayii A.S.)

Erkunt Traktor operates in the Farm Equipment industry. The acquisition would provide the Company access to Turkish agriculture machinery market (4th largest tractor market globally). The consideration for the transaction would be in cash upto Rs 478 crore.

Erkunt Sanayi (Erkunt Foundry) operates in casting and machining industry. The acquisition would provide the Company access to a full service casting and machining company with capability to manufacture engine blocks, cylinder heads and transmission cases. The consideration for the transaction would be in cash upto Rs 322 crore.

Both transactions are expected to close by 30 November 2017.

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First Published: Sep 20 2017 | 1:45 PM IST

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