Others: Auto, Force Motors Ltd, MAN Force Trucks Pvt Ltd, Indian market

Germany's MAN to be 50:50 partner in Force Motors JV

Force Motors Ltd said it would sell up to 14.50 per cent stake in its auto components joint venture with German truck maker MAN for about 3 bn rupees, sending the former's shares up. MAN would acquire additional equity in the joint venture to increase its stake to 50 percent, via a rights issue for up to 2.5 bn rupees.

Force Motors currently holds 70 percent stake in the JV, MAN Force Trucks Pvt Ltd, while the German firm holds the rest. The joint venture would start designing and make trucks and bus chassis over the next few months to widen its footprint in the Indian market. Shares of Force Motors were up 20 percent.

December 3, 2008
Source: Economic Times
URL: http://economictimes.indiatimes.com/News/News_By_Industry/Auto/Automobiles/Germanys_MAN_to_be_5050_partner_in_Force_Motors_JV/articleshow/3787229.cms