M&M enters Kenya with launch of brand mascot Scorpio

Nairobi, September 19, '06: Mahindra & Mahindra Ltd., the Indian leader in utility vehicles with a growing global presence, launched the All New Scorpio in Kenya as part of a series of international launches. Mahindra & Mahindra has appointed a Kenyan company - Oriel Ltd - to lead it into the East African Market. The new Scorpio SUV is being launched in Kenya with 40 changes and improvements, all based on direct feedback that we received from, amongst others, the East African market.

Mr. Ashok Thakur, Senior General Manager - Export, said on the occasion, "Kenya is one of the most evolved markets for cars in East Africa, which is one of the major markets for our globalization plan. We see Kenya as a strategic market for our export success. Our vehicles have a significant presence in other markets of Africa. The Mahindra nameplate is a success in South Africa too and many other countries and we are confident that our entry into Kenyan market will be well received."

Oriel, part of the long established Ecta Group in Kenya, will start by launching M&M's Scorpio, a 2.6 litre turbo diesel SUV that has won many awards since its launch. This flagship model will be swiftly followed by M&M's Bolero, a one tonne pick-up.

Mr. Sreedharan, MD of Oriel, said, "We are proud to be the exclusive distributors for Mahindra vehicles in Kenya. The Scorpio is a product of international standards and is being offered at a value price. The Mahindra promise of quality backed by our distribution and after sales network will make the Mahindra range a success."

"Mahindra vehicles have been designed to match international standards wherever they go. Africa is a strategic market for Mahindra as it is for other Indian majors. Our commitment and our thrust in this sector is evident in the global launch of the new four model Scorpio Pik-Up range in South Africa recently," added Mr. Thakur.

Scorpio: An international breed

The Scorpio is a direct result of the innovative Integrated Design and Manufacturing (IDAM) process, where Mahindra & Mahindra tied-up with global automotive suppliers at an early stage for concurrent design and development. These partners include Lear USA, Visteon USA, Dana USA, BEHR Germany, Bosch Germany, Borg Warner USA, Fuji Japan and Sylea France.

The stylish and rugged Mahindra range of vehicles has attracted a niche audience globally. The African terrain is very similar to that in India, both in terms of market maturity and geography. The Scorpio has proved their savvy in great measure in India, Africa, Europe and many other countries where it being exported. M&M has extensively tested the Scorpio for over a year in Kenya and is confident of replicating the success in Kenya.

Kenya's automobile market is one of the most dynamic in East Africa. It is a rapidly growing economy with an expanding leisure market. Besides, it is a right hand drive market. "Mahindra's products with their rugged 4x2 and 4x4 qualities are a perfect fit for the Kenyan terrain," added the Oriel MD.

Apart from holding a premier position in Indian industry, M&M is an established leader in several global markets. It has a strong presence in the US, China, Malaysia, West Asia, Australia, Latin America and the Middle East, as well as increasingly in Africa. Over the next couple of years we plan to get about 20 percent of our volumes from our global ventures. Mahindra is looking to consolidate operations in East Africa.

In Africa, Mahindra has a subsidiary in South Africa which distributes vehicles in South Africa, SACU member countries and other Southern African countries. Last year Mahindra sold over 3000 vehicles in South Africa and is expected to cross 5000 vehicles this year. Mahindra also has a presence in many African countries like Nigeria, Ghana, Mozambique, Tanzania, Madagascar, DR Congo, Rwanda, Burundi, Ethiopia and Djibouti. Mahindra is also evaluating manufacturing opportunities in COMESA. Mahindra South Africa is participating in the Auto Africa Show in Johannesburg from 26th October to 5th November 2006 where a range of products Scorpio, Bolero, pickups, Legend, LCV's and tractors would be displayed.

About The Mahindra Group

The US $3 billion Mahindra Group is among the top 10 industrial houses in India. Mahindra & Mahindra is the only Indian company among the top five tractor manufacturers in the world and is the market leader in multi-utility vehicles in India.

It has a leading presence in key sectors of the Indian economy, including trade and financial services (Mahindra Intertrade, Mahindra & Mahindra Financial Services Ltd.), automotive components, information technology & telecom (Tech Mahindra, Bristlecone), and infrastructure development (Mahindra GESCO, Mahindra Holidays & Resorts India Ltd., Mahindra World City).

With around 60 years of manufacturing experience, the Mahindra Group has built a strong base in technology, engineering, marketing and distribution. The Group employs around 30,000 people and has eight state-of-the-art manufacturing facilities in India spread over 500,000 square meters.

The Mahindra Group has ambitious global aspirations and has a presence in 20 countries spread across four continents. Mahindra products are today available in every continent except Antarctica. M&M has made strategic acquisitions of plants in China and the UK, and has 2 assembly plants in the USA. Its global subsidiaries include Mahindra Europe Srl. based in Italy, Mahindra USA Inc. and Mahindra South Africa. M&M has entered into partnerships with international companies like Renault, France, and International trucks, USA. The Group is celebrating its 60th anniversary in 2005-06.