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CIE Automotive strengthens its position in India

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CIE Automotive strengthens its position in India

29/06/2018

An additional 5% of its Indian subsidiary is acquired for around 60 million euros

 

Bilbao, June 29, 2018 –– CIE Automotive has released the acquisition of an additional 5% in Mahindra CIE Automotive Ltd from Mahindra & Mahindra for an amount of approximately 60 million euros. Its stake in the company increases to above 56%.
In 2013, the agreement with Mahindra & Mahindra fore the creation of the Mahindra CIE Automotive project meant a great step for CIE Automotive, both for entering into the Indian market -final aim of the transaction- and for the creation of a worldwide forging unit, within the world top 5.
Once again, as it had happened before in other geographies such as Brazil, Mexico, Russia or the US, CIE Automotive entered into a joint venture with a local partner to open ways in a new country with a new culture.
CIE Automotive has always held above 50% of the company with a clear aim to being a long term majority shareholder, and has contributed to growth by increasing its investment in different corporate transactions.
India is both an attractive manufacturing hub and a heavy vehicle and industrial vehicle exporter, which is an additional attractive to 4,5 million passenger vehicles and 20 million 2 and 3 wheelers.
Jesus Maria Herrera, CEO: “we strengthen our position in India, an attractive market which has become the fifth largest market worldwide (after China, US, Japan and Germany) and which reserves a huge potential, by duplicating its capacity in less than a decade, pursuant to double digit growth”

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