New Delhi: Mahindra & Mahindra on Friday said it will sell 22% of its stake in joint venture firm Mahindra Sanyo to Sanyo Special Steel Co Ltd for Rs146.32 crore.
“The company has today agreed to sell 26,36,401 equity shares of Rs10 each held by the company in Mahindra Sanyo Special Steel Pvt Ltd (MSSSPL), aggregating 22% of the paid-up equity share capital of MSSSPL, to Sanyo Special Steel Co., Ltd. for a consideration of Rs146.32 crore,” Mahindra & Mahindra (M&M) said in a BSE filing.
MSSSPL is a joint venture (JV) between M&M (51%) India, Sanyo Special Steel Co Ltd (29%) Japan and Mitsui & Co Ltd (20%) Japan.
“Following the sale, company’s shareholding in MSSSPL would come down to 29% from 51% of its share capital, and MSSSPL will cease to be a subsidiary of the company,” Mahindra & Mahindra added.
The transaction is expected to be completed by 31 March depending upon receipt of requisite approvals. Turnover of MSSSPL for the year ended March, 2017 was Rs918 crore.
Shares of Mahindra & Mahindra were trading 0.60% lower at Rs749.20 on BSE.