Indian automaker, Mahindra, just bought Peugeot Motorcycles, adding the brand to its growing roster of subsidiaries that include Korean automaker Ssangyong, Italian design firm Pininfarina, BSA motorcycles, and Ford India.
A 100% stake in Peugeot Motocycles (PMTC) was acquired by Mahindra Two Wheelers Europe, a subsidiary of Mahindra & Mahindra Ltd. (M&M Ltd), part of the USD 20.7 billion Mahindra Group headquartered in Mumbai, India. Peugeot Motocycles will continue to operate out of its headquartered in Mandeure, France.
Earlier in January 2015, Mahindra Two Wheelers Europe had acquired a 51% equity stake in PMTC from PSA with the aim of growing the business. Mahindra plans to invest heavily in PMTC as part of its “Performance 2020” plan and launch seven new products under Peugeot between 2019 and 2021. Most of these products are destined for Europe, France in particular with some key markets in Asia eyed.
“We are seeing positive momentum at Peugeot Motocycles...We fully support PMTC’s ‘Performance 2020’ and look forward to the future with enhanced optimism,” said Rajesh Jejurikar, President FES & ‘two wheelers’, and Member of the Group Executive Board, Mahindra & Mahindra Ltd.
“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 utilization of the Peugeot brand and extend our support to design and technological innovations,” said Jean-Philippe Imparato, Executive VP Peugeot Brand.
The Peugeot brand will continue to be used under the Trade License Agreement between PMTC and Peugeot. In addition, the Peugeot design teams will continue to assist in the design and development of PMTC products in close cooperation with PMTC management and the Mahindra Group.