Brazilian bus and coach producer Marcopolo S.A. has determined to exit from the JV, Tata Marcopolo Motors Limited (TMML) and has provided to promote its 49 per cent shareholding within the JV to Tata Motors.
Tata and Marcopolo S.A. entered the 51:49 JV in 2006 and has launched fashions just like the Starbus
Tata Motors has introduced getting into right into a share buy settlement with Marcopolo S.A. to purchase the remaining 49 per cent shareholding of their Joint Venture (JV) Tata Marcopolo Motors Limited (TMML). The homegrown carmaker has mentioned that it’s going to procure the remaining shares for a money consideration of ₹ 99.96 crore, put up which, TMML will turn into a wholly-owned subsidiary of Tata Motors. The two firms entered this 51:49 JV in 2006 to type one of many largest bus and coach producers globally, nonetheless, the Brazilian bus and coach producer has now determined to exit from the JV.
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In its official assertion, Tata Motors mentioned, “All technologies pertaining to existing bus body products manufactured will continue to vest with TMML. In addition, as part of the transition, Marcopolo S.A. will continue to license the “Marcopolo” trademarks to TMML for a minimum of 3 years with a non-compete provision in India for a corresponding period. The transaction will not result in any impact on TMML’s operations or the continued sales and service of the Company’s customers”
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Since its incorporation, the JV, Tata Marcopolo Motors, has launched a number of fashions in India just like the Starbus and Starbus Ultra bus manufacturers. The JV firm holds manufacturing services in Dharwad and Lucknow the place it builds bus our bodies on chassis. In its assertion, Tata Motors additionally added that Marcopolo S.A. and TMML intend to keep up an open channel for future collaboration alternatives round bus physique designs and technical consulting providers.