Mahindra acquires 59% controlling stake in SML Isuzu

Mahindra & Mahindra (M&M) has announced that the company has acquired a 58.96 per cent take in SML Isuzu, expanding its presence in the commercial vehicle segment. The Indian auto giant has acquired the stake from Sumitomo Corporation, Japan, and Isuzu Motors Limited, Japan. The CV giant will be renamed ‘SML Mahindra Limited’, subject to regulatory approvals.

Mahindra Acquires SML Isuzu

The board of directors has appointed Vinod Sahay, President – Aerospace & Defence, Trucks, Buses & CE – Mahindra Group, as Executive Chairman of SML Isuzu, effective August 3, 2025. Dr. Venkat Srinivas has been appointed as the Executive Director & Chief Executive Officer of SML Isuzu Ltd., effective August 01, 2025.

As part of the transaction, Mahindra will launch a mandatory open offer for acquisition of up to 26 per cent stake from eligible public shareholders of SML in accordance with the SEBI Takeover Regulations. Mahindra entered into the agreement to acquire SML Isuzu in April this year at ₹650 per share, representing a total investment of ₹555 crore.

The move will help Mahindra establish a strong presence in the 3.5 tonne and above segment, where the company has a 3 per cent market share at present. Meanwhile, it has a 54.2 per cent market share in the sub-3.5 tonne LCV segment. The acquisition aims to double the brand’s market share to 6 per cent with a plan to increase the same to 10-12 per cent by FY2031, and 20 per cent by FY2036.

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