NEW DELHI: Mahindra & Mahindra Ltd (M&M) on Thursday announced a share swap deal with TVS Automobile Solutions Pvt Ltd to merge its multi-brand car and two-wheeler service venture — Mahindra First Choice Services Ltd — with TASL.
Under the transaction, M&M will acquire 2.76 per cent stake in the TVS group firm TASL, which is into multi-brand automotive aftermarket and related services, for about Rs 35 crore.
On the other hand, TASL will acquire the entire stake of Mahindra Holdings Ltd, a wholly-owned subsidiary of M&M, in Mahindra First Choice Services Ltd (MFCS) and its subsidiary Auto Digitech Pvt Ltd (ADPL).
“As a part of the transaction, the company will secure a minority stake in TASL and in turn, MFCS and ADPL will become subsidiaries of TASL,” it added.
The company will invest approx Rs 35 crore for acquisition of shares in TASL, which is comparable to the consideration that TASL will pay to acquire shares of MFCS and ADPL, it said in a regulatory filing. (AGENCIES)
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