Maruti sees $1.8 billion savings on Suzuki agreement
NEW DELHI (Reuters) - Maruti Suzuki India Ltd, the country's biggest car maker, said it expected a saving of about 105 billion rupees over 15 years by entering into a contract manufacturing agreement with parent Suzuki Motor Corp.
In January, Suzuki said it plans to build a wholly-owned car plant in Gujarat that will supply exclusively to Maruti. The plan has met with resistance from some of Maruti's large Indian shareholders.
Maruti, pending shareholder approval, plans to enter into a contract manufacturing agreement with Suzuki for 15 years, which can mutually be extended by another 15 years, it said in a presentation, a copy of which it filed to the stock exchanges.
Suzuki will invest a total of about 185 billion rupees to build the plant that would eventually have a capacity of 1.5 million cars, Maruti said on Friday.
(Reporting by Aditi Shah; Editing by Subhranshu Sahu)
- Tweet this
- Share this
- Digg this
- Pakistani family sentenced to death over "honour killing" outside court
- Alumnus dead after opening fire at Florida State University, wounding 3 |
- Mike Nichols, award-winning American director, dies at 83
- UPDATE 2-Doctor who treated source of second Mali Ebola outbreak dies
- Mike Nichols, award-winning American director, dies at 83 |
Kotak Mahindra Bank has agreed to buy ING Vysya in an all-share deal valuing its smaller rival at $2.4 billion, bulking up as analysts predict the start of long-awaited consolidation in a crowded banking sector. Full Article
U.S. court overturns bid by Ranbaxy to block launch of rival generic drugs. Full Article
Tech Mahindra to buy U.S.-based network services operator for $240 million Full Article
Infosys unit's overbilling Apple led to exit of top execs - sources. Full Article