Home-grown auto major Mahindra & Mahindra (M&M) today said it will consolidate auto-component businesses under one roof and enhance presence in the aerospace component space eyeing $150-million revenue each year from five years from now.
"The consolidation in the auto-component business is required because it will be much more cost-effective to sell products under one brand rather than sending five account managers for selling five products from the same Group," M&M President (Systech sector) Hemant Luthra said here.
M&M's auto-component business has there listed firms - Mahindra Ugines, Mahindra Composites, Mahindra Forgings - and three unlisted ones, including, Mahindra Gears and Mahindra Castings. The Skytech sector also bought out at least 10 firms, both in India and abroad, since inception four years back for a total consideration of around euro 250 million.
Declining to give any time-frame for concluding the consolidation, he said, "If we can bring in all these people together, we will be able to do it. We will also have to get the approval from Sebi."
"We have not started anything other than the intellectual exercise on consolidation, but hope it will happen in much less than two years from now," Luthra said.
