Mahindra looking to let go of SsangYong

According to a media report, Mahindra is looking for new investors for SsangYong as the Indian car maker is looking to exit loss-making ventures. The move comes after Mahindra reported a loss of Rs. 2509.67 crore for the quarter ending March 2020.

Mahindra rescued SsangYong from near-insolvency in 2010 and owns a 75% stake in the company. It is said that a new investor would reduce their stake, or could even buy their entire stake in the Korean carmaker.

It is also reported that Mahindra would review all its loss-making businesses in the next 12 months to cut costs. The company would continue to invest in businesses that can generate equity returns of 18% or if they present a strategic importance.

Source