Mahindra acquires 51% stake in Peugeot Motorcycles

Aditya · 21st January 2015, 14:35

Last year, Mahindra Two Wheelers had announced that it had made a binding offer to acquire a 51% stake in Peugeot Motorcycles (PMTC). Now, the company has announced that it has completed all the necessary formalities for the acquisition and bought shares held by the PSA Group of France.

Under the terms of the agreement, MTWL has infused Euro 15 million into PMTC to finance projects implemented through the partnership. The transaction between Mahindra and Peugeot was subject to Works Council consultation, as part of the employee dialogue process and anti-trust law, which, the company claims, was completed successfully.

PMTC has been present for 116 years in Europe and is said to be the oldest motorized two-wheeler manufacturer in the world. The company offers a range of scooters and mopeds, from 50 cc to 400 cc, including the Metropolis three-wheeled scooter.

With the acquisition of Peugeot's scooter division, Mahindra expects to enhance its technological capabilities and also gain entry to European markets. For PMTC, the takeover will help it in gaining access to emerging markets.

21Archer84 · 21st January 2015, 14:52

It's high time that the Indian manufacturers acquiring stake in International brands.Hope Mahindra brings in the technology and line-up of Peugeot Motorcycles into the competitive Indian Two wheeler market.

rajeev k · 21st January 2015, 16:10

This will help Mahindra to bring Peugeot Scooters to India, as Scooter segment is fast growing and in demand.

abhi29 · 21st January 2015, 20:42

This will help Mahindra not only in entering the European markets but also the other markets where Peugeot has established presence. Mahindra can slowly piggyback their cheaper models to such markets.

As far as Indian market is concerned, i just hope they price the Peugeot models sensibly. I understand the difference in positioning will be there, just like Ssangyong, but some sane pricing can definitely become a nightmare for Vespa.

Personally, i am waiting for the retro-cool Django, anything around 80-90k and ill run for it.

srishiva · 21st January 2015, 21:30

Just 15 million for 51% stake or is it something more? Indian companies can buy so many things for cheap and get a jump start

21st January 2015, 14:35	#1
Aditya Team-BHP Support Join Date: Feb 2004 Location: Mumbai Posts: 17,800 Thanked: 76,765 Times View My Garage	Mahindra acquires 51% stake in Peugeot Motorcycles Last year, Mahindra Two Wheelers had announced that it had made a binding offer to acquire a 51% stake in Peugeot Motorcycles (PMTC). Now, the company has announced that it has completed all the necessary formalities for the acquisition and bought shares held by the PSA Group of France. Under the terms of the agreement, MTWL has infused Euro 15 million into PMTC to finance projects implemented through the partnership. The transaction between Mahindra and Peugeot was subject to Works Council consultation, as part of the employee dialogue process and anti-trust law, which, the company claims, was completed successfully. PMTC has been present for 116 years in Europe and is said to be the oldest motorized two-wheeler manufacturer in the world. The company offers a range of scooters and mopeds, from 50 cc to 400 cc, including the Metropolis three-wheeled scooter. With the acquisition of Peugeot's scooter division, Mahindra expects to enhance its technological capabilities and also gain entry to European markets. For PMTC, the takeover will help it in gaining access to emerging markets. Last edited by Aditya : 21st January 2015 at 16:19.
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21st January 2015, 14:52	#2
21Archer84 BHPian Join Date: Jun 2012 Location: Columbus/HYD Posts: 355 Thanked: 317 Times	Re: Mahindra acquires 51% stake in Peugeot Motorcycles It's high time that the Indian manufacturers acquiring stake in International brands.Hope Mahindra brings in the technology and line-up of Peugeot Motorcycles into the competitive Indian Two wheeler market.
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21st January 2015, 16:10	#3
rajeev k Senior - BHPian Join Date: Jul 2009 Location: Emerging Metro Posts: 3,352 Thanked: 1,947 Times	Re: Mahindra acquires 51% stake in Peugeot Motorcycles This will help Mahindra to bring Peugeot Scooters to India, as Scooter segment is fast growing and in demand. Last edited by GTO : 22nd January 2015 at 16:56. Reason: Typo
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21st January 2015, 20:42	#4
abhi29 BHPian Join Date: Apr 2014 Location: Sydney Posts: 60 Thanked: 87 Times	This will help Mahindra not only in entering the European markets but also the other markets where Peugeot has established presence. Mahindra can slowly piggyback their cheaper models to such markets. As far as Indian market is concerned, i just hope they price the Peugeot models sensibly. I understand the difference in positioning will be there, just like Ssangyong, but some sane pricing can definitely become a nightmare for Vespa. Personally, i am waiting for the retro-cool Django, anything around 80-90k and ill run for it.
	(1) Thanks

21st January 2015, 21:30	#5
srishiva Senior - BHPian Join Date: Nov 2006 Location: Bengaluru Posts: 4,375 Thanked: 2,256 Times	Re: Mahindra acquires 51% stake in Peugeot Motorcycles Just 15 million for 51% stake or is it something more? Indian companies can buy so many things for cheap and get a jump start
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