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M&M issues call option to MITRA’s shareholders to complete acquisition of MITRA

29 Dec 2022 Evaluate

Mahindra & Mahindra (M&M) has issued call option notice upon the other existing shareholders of M.I.T.R.A. Agro Equipments (MITRA) for purchase of 1,29,619 equity shares of Rs 10 each of MITRA pursuant to exercise of a call option available to the Company under the relevant Shareholders’ agreement and a notice of participation upon the prospective shareholders of MITRA, being holders of MITRA’s employee stock options (ESOP Holders) who would be issued equity shares of MITRA upon exercise of stock options, for purchase of 8,970 equity shares of Rs 10 each of MITRA aggregating, 1,38,589 Equity Shares of Rs 10 each of MITRA, which constitutes 52.67% of the paid-up capital of MITRA on a fully diluted basis.

Following the acquisition of stake by the Company as aforesaid, the shareholding of the Company in MITRA would stand increased to 100% (on a fully diluted basis) from the existing 47.33% (on a fully diluted basis). Consequently, MITRA would become a wholly owned subsidiary of the Company. The acquisition of balance stake of MITRA would support the Company’s farm equipment sector’s growth in the horticulture equipment sector.

M&M is the flagship company of the Mahindra Group, a multinational conglomerate based in Mumbai, India. Amongst the various business interests of its parent group, the company is mainly involved in the automobile manufacturing. It is one of the leading auto companies of India.

Mahindra & Mahindra Share Price

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