Maruti Suzuki India Ltd to merge with Suzuki Powertrain India Ltd

Maruti Suzuki India Ltd and Suzuki Powertrain India Ltd have decided to enter into a merger.

• The merger will assist them manufacture and meet the mounting demand for diesel vehicles
• Suzuki Powertrain is a 30:70 ratio joint business enterprise between Maruti and its Japanese parent Suzuki Motor Corp
• The merger is estimated to enhance Suzuki’s holdings in its Indian subsidiary by 2% points to 56.2%
• Maruti intends to make a fresh issue release of 13.17 million shares to Suzuki in lieu of its 70% holding in Suzuki Powertrain
• The automobile industry is gradually turning towards diesel vehicles sector and has attained a diesel to petrol ratio of 1:1.
• Maruti Suzuki India Limited is a subsidiary of Suzuki Motor Corporation, Japan.
• Maruti  Suzika India Limited, is famous as the 1^st company in India to manufacture and sell more than a million cars.

Month: Current Affairs - June, 2012