Mahindra in talks to buy entire promoter stake in SML Isuzu

Mahindra is said to be looking at a valuation of Rs 1,400 – Rs 1,500 per share.

Mahindra is reportedly in talks to buy the entire promoter stake in commercial vehicle maker SML Isuzu Ltd.

According to media reports, Mahindra is looking to expand its footprint in the trucks and buses segment. The company’s board is likely to meet this week to evaluate the buyout.

Mahindra is said to be looking at a valuation of Rs 1,400 – Rs 1,500 per share, which is a discount of 11% to 17% from the current price at which SML Isuzu is trading.

Mahindra declined to comment on the matter, stating that it does not wish to comment on market speculation.

There have been reports of Sumitomo Corporation, SML Isuzu’s Japanese promoters, looking to exit their India operations. As per a report from June 2023, JBM Auto was among the front runners to acquire SML Isuzu.

Source: CNBCTV18