Mahindra Secures 58.96% Stake in SML Isuzu, Targets 20% CV Market Share by FY36
Mahindra & Mahindra Ltd. (M&M) has finalised a significant acquisition, securing a controlling 58.96 per cent stake in SML Isuzu Ltd. (SML) on August 1, 2025. The deal, conducted under share purchase agreements (SPAs) dated April 26, 2025, aims to bolster Mahindra's commercial vehicle market share and expand its product portfolio.
Following the acquisition, Mahindra has set ambitious targets to double its commercial vehicle share to 6 per cent immediately, with long-term goals of 10-12 per cent by FY31 and over 20 per cent by FY36. The company will now have access to SML's Punjab-based manufacturing plant, increasing its dealer and service centre reach, and gaining a complementary product portfolio.
The open offer process will commence in the coming months, allowing Mahindra to potentially increase its stake to 84.96 per cent. However, the overall transaction is subject to the approval of the Competition Commission of India (CCI).
As part of the transition, Vinod Sahay has been appointed as the Executive Chairman of SML Isuzu Ltd., effective August 3, 2025. Venkat Srinivas has taken charge as the Executive Director and Chief Executive Officer, starting August 1, 2025. The company is set to be renamed 'SML Mahindra Limited', pending necessary approvals.
With the acquisition of SML Isuzu Ltd., Mahindra & Mahindra Ltd. strengthens its position in the commercial vehicle market. The deal brings a significant manufacturing plant, expanded reach, and a complementary product range. The company looks forward to leveraging these assets to achieve its ambitious market share targets.
Read also:
- Germany Launches HoLa Project for Megawatt Charging on A2 Motorway
- Wallenius Wilhelmsen Leads Maritime Industry's Push to Net Zero Emissions by 2027
- Transforming Digital Inventories in the Food Industry: A Comprehensive Guide for Food Businesses
- Canada's Transportation Revolution: Hyperloop & Electric Air Taxis by 2026
