The European arm of Mahindra Two Wheelers has bought the remaining 49 per cent shares in Peugeot Motocycles, meaning it now holds 100 per cent stake in the French two-wheeler company.
Mahindra Two Wheelers Europe has acquired 100 per cent ownership of the French two-wheeler maker Peugeot Motocycles (PMTC). The European subsidiary of the homegrown manufacturer had 51 per cent stake in PMTC – bought in 2015 – and it has now acquired the remaining 49 per cent stake, confirmed Mahindra Two Wheelers. In addition to this, Mahindra has announced that it will invest a further 15 million pounds (Rs 110 crore, approximately) in PMTC to work towards future growth in European markets, while also expanding its operations in new locations, including Asian countries. Between 2019 and 2021, the firm plans to launch seven new products under the PMTC brand across the world.
Commenting on the development, Rajesh Jejurikar, President, FES & Two Wheelers & Member of the Group Executive Board, Mahindra & Mahindra Ltd., said, ‘We are seeing positive momentum at Peugeot Motocycles. The Kisbee becoming the largest selling 50cc vehicle in Europe, Peugeot Metropolis getting stronger in Europe and China, and the positive market response to the new launch of the Urban GT connected Pulsion are all cases in point. We fully support PMTC's Performance 2020 and look forward to the future with enhanced optimism.’
Speaking on the matter, Jean-Philippe Imparato, CEO, Peugeot Brand, said, ‘This decision by the shareholders will ensure that Peugeot Motocycles benefits from the expertise of a significant global player in the two-wheelers industry. We at Peugeot will maintain our commitment through our utilisation of the Peugeot brand and extend our support to design and technological innovations."
The future products from PMTC will continue to come branded as Peugeot in European and Chinese markets among others, where they are already present. At the same time, Peugeot design teams will continue to assist the PMTC design and development department for their new products. As for India, there’s no news if we’ll see PMTC products go on sale here. However, a collaboration between the Indian arm and PMTC can’t be ruled out.