Mahindra subsidiary wholly acquires Peugeot Motocycles
While already holding a 51 per cent stake in the company, Mahindra’s Europe subsidiary has now purchased the other 49 per cent of Peugeot Motocycles as well
In January 2015, Mahindra Two Wheelers Europe had purchased a majority stake of 51 per cent in Peugeot Motocycles. Now, in a 15 million pound move (Rs 110 Crore), the company has acquired a 100 per cent stake. The move intends to strengthen Peugeot's holding in Europe and enter new markets while Mahindra continues to expand its already diverse portfolio.
Mahindra Two Wheelers Europe and the PMTC team have been working together on the ’Performance 2020’ plan, which was unveiled in July 2018. It aims to strengthen the company’s operations in markets such as the United Kingdom, Germany, France and expanding to new areas, including select Asian markets.This growth plan is backed by an investment plan which includes the launch of seven new products between 2019 and 2021. The brand aims to increase its presence in Europe, with France remaining a major market and PMTC’s headquarters still based in its historical location, Mandeure.
Jean-Philippe Imparato, Executive VP Peugeot Brand said, “This decision by the shareholders will ensure that Peugeot Motocycles benefits from the expertise of a significant global player in the two-wheelers industry. We at Peugeot will maintain our commitment through our utilisation of the Peugeot brand and extend our support to design and technological innovations.”
The products will still be branded under the Peugeot name thanks to the Trade License Agreement between PMTC and Peugeot. In addition, Peugeot's design teams will continue to assist in the design and development of PMTC products in close cooperation with PMTC management and the Mahindra Group
Karan Singh, Correspondent, evo India
Perhaps as much in love with Porsche 911s as he is with sneakers (and good food), Karan claims his love for cars started before he learnt to speak, even though there is a rumour around the office that he fell asleep while attending his first ever Grand Prix! He likes to find weird quirks about cars and dedicates a fairly large space in his head to random car facts and an equally large space in his heart for cars with cool specs. He came across this career path by chance, and going by how excited he gets as soon as new metal rolls into the office, he seems to be loving everyday of his journey as an automotive journalist.