M&M buys Turkish tractor firm for Rs 735 cr

Mumbai, September 20 

Mahindra & Mahindra (M&M) today said it has signed pacts with Turkey-based Erkunt group to acquire its tractor manufacturing and foundry businesses for about Rs 735 crore, which will help to enhance its product portfolio.

M&M said it will acquire Erkunt Traktor Sanayii, for Rs 478 crore. Besides, it has inked a share purchase agreement to acquire 80% stake in Erkunt Sanayi AS for Rs 257 crore. 

“Turkey is a very important market in our globalisation journey and we wish to participate in its entire agri mechanisation landscape. The acquisition of Erkunt will enable Mahindra to expand its footprint in the world’s 4th largest tractor market,” Mahindra & Mahindra Ltd’s Managing Director Pawan Goenka said. — PTI