Mahindra to acquire 55% stake in Meru Cabs

According to a media report, Mahindra is set to acquire a 55% stake in ride-hailing firm Meru Cabs. The company plans to invest Rs. 103.5 crore by a fresh issue of shares in tranches.

It has been reported that subsidiaries like Meru Mobility Tech Private Limited, V-Link Automotive Services Private Limited and V-Link Fleet Solutions Private Limited will now be a part of the Mahindra Group.

As per the agreement, the first tranche of investment is likely to be made by October 2019. Mahindra could also acquire shares from True North - an existing shareholder in Meru, for an amount not exceeding Rs. 98 crore.

Meru Cabs began operations in 2006. It is one of the first ride-hailing services in India and operates in Mumbai, Delhi and Bangalore. The company also provides transport solutions to call centres, banks, airlines among others.

Source: NDTV

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