Homegrown auto major Mahindra & Mahindra Ltd has sold its entire 71.19% stake in Swaraj Automotives Ltd for Rs.24.84 crore to b4S Solutions. “The company has today entered into a share purchase agreement with b4S Solutions... for the sale of its entire stake in SAL,” M&M said in a regulatory filing. Under the agreement, the company sold 17,06,925 equity shares of Rs.10 each at a price of Rs.145.5 per equity share, it added.
M&M said the transaction in expected to be completed in the first week of January 2016, subject to regulatory approvals. It had acquired stake in SAL through open offers when it bought 43.3% in Punjab Tractors, which held shares in the company. Swaraj Automotives Limited is into manufacturing of seats and seat mechanisms for tractors, commercial vehicles and passenger vehicles.
b4S Solutions is engaged in the business of telecom and transmission tower management, manufacturing in packaging industry, automotive dealerships and service centres and manpower outsourcing. M&M shares closed at Rs.1,289.15, up 1.11% on Friday on the BSE.