Hyundai to acquire General Motors' Talegaon plant

Hyundai India aims to achieve a production capacity of 1 million units per annum.

Hyundai has announced the acquisition of General Motors' Talegaon plant. The Asset Purchase Agreement (APA) has been signed by the two parties. The completion of the acquisition and assignment is subject to regulatory approvals.

GM's Talegaon plant currently has an annual production capacity of 1,30,000 units. Reports suggest that Hyundai plans to expand it by investing more than Rs 5,000 crore over the coming decade.

Together with its Sriperumbudur unit near Chennai, Hyundai India aims to achieve a production capacity of 1 million units per annum. According to the company, manufacturing operations at the newly acquired facility are planned to commence in 2025.

In 2017, General Motors terminated its operations in India. Since then, the company has been on the lookout for a suitable buyer. In 2019, GM entered into negotiations with China's Great Wall Motors. However, these failed to reach fruition due to regulatory hurdles.