JSW, SAIC ink JV to run MG Motor operations in India
JSW Group and SAIC Motor announced an India joint venture aimed at expanding the operations of MG Motor, owned by the Chinese company, in the country. JSW will hold a 35% stake in the joint venture, they announced on Thursday.
«Our strategic collaboration with SAIC Motor aims to grow and transform the MG Motor operations in India with a focus on green mobility solutions,» the JSW Group's Parth Jindal said in a media release.
The announcement comes amid increased scrutiny by the Indian government on investments made by China amid border tensions.
JSW and SAIC Motor signed the deal in London on Thursday, according to a statement issued by the two sides. JSW will jointly run the automobile unit in the country with SAIC.
Green mobility
This will enable the maker of the Hector and Astor SUVs to expand local operations, besides giving the Indian conglomerate an entry into the rapidly growing electric vehicle segment in India.
SAIC will continue to support the venture with advanced technology and products.
The shareholder agreement and the share purchase and subscription agreement were signed by SAIC president Wang Xiaoqiu and JSW Group's Parth Jindal on Thursday.
ET was the first to report on the deal's details on June 15. On October 5, ET was also the first to report that JSW Group will own 35-38% of the JV initially.
«Both partners shall work closely to bring in the best of innovation, in creating greener and smarter mobility products and services for our consumers,» Xiaoqiu said in a media release.
JSW is aiming to make a mark in «green mobility solutions», Parth Jindal said in the statement.
«The joint venture paves the way for bringing world-class, technology-enabled futuristics suite of automobile products
