Indian auto major Mahindra and Mahindra (M&M) plans to expand its automobile business in the US after sealing the acquisition of a majority stake in the South Korean automobile major Ssangyong, a senior company official has said.
“We have entered into an agreement with the ailing Ssangyong Motor in August to acquire a majority stake in the South Korean SUV-maker to expand our business in international markets. We are looking at entering the US market, once the (Ssangyong)deal is through,” a senior official from the Finance and Strategic Development Department of M&M told PTI, requesting anonymity.
The maker of Scorpio SUVs is seeking to benefit from the South Korean automaker’s technology and international sales network, he said.
“When the global presence of Mahindra and Ssangyong is combined, jointly we will be able to achieve more success in the global market,” he said.
He said that there was a huge scope for expansion in this segment in the US.
“There are a few issues, which need to be sorted out and negotiations are going on. We expect the deal to be sealed by early 2011,” he said.