Mahindra to acquire Meru for Rs 97.66 crore, Pravin Shah appointed CEO

The move will see Mahindra increasing its stake from 43.20% to 100%.

Autocar Professional BureauBy Autocar Professional Bureau calendar 30 Apr 2021 Views icon18827 Views Share - Share to Facebook Share to Twitter Share to LinkedIn Share to Whatsapp
Mahindra to acquire Meru for Rs 97.66 crore, Pravin Shah appointed CEO

In continuation of its strategic intent to grow its presence in the shared mobility space, Mahindra & Mahindra has entered into definitive agreements with shareholders of Meru Travel Solutions (Meru) to buy their respective stakes in ride sharing company Meru.

M&M is to acquire 44.14% shares from private equity investor, True North and others for an amount not exceeding Rs 76.03 crore and 12.66% shares from Neeraj Gupta and Mrs. Farhat Gupta, for Rs 21.63 crore. With this, M&M will enhance its current shareholding in Meru from 43.20% to 100%.

Set up in 2006, Meru Cabs revolutionised the way people travelled in cabs by offering AC cabs at their doorstep with a single call. Today, Meru has a significant presence in the airport transfer business, operating in the ride hail segment and providing employee transportation services to corporates in India.

Neeraj Gupta, founder-CEO and director of Meru and its subsidiary company Meru Mobility and director of two other Meru subsidiaries – V-Link Automotive Services and V-Link Fleet Solutions will be stepping down.

Pravin Shah, who was earlier President Automotive, M&M till March 2017 will be the CEO of Meru and its subsidiary companies, with effect from May 1, 2021.

Commenting on the acquisition, Dr. Anish Shah, MD and CEO, Mahindra Group said, “I would like to thank Neeraj Gupta and the team at Meru for building a pioneering brand in the shared mobility space in India. Our association with Meru is built on our compelling strategy to scale our shared mobility businesses. Pravin has agreed to take this critical responsibility of the business and to develop sustainable and scalable business strategies.”

 

RELATED ARTICLES
Bajaj Auto launches new Chetak 3503 at Rs 110,000

auther Autocar Professional Bureau calendar29 Apr 2025

The Chetak 3503, with a claimed range of 155km, 63kph top speed and a slower charging time than its 35 Series siblings, ...

Hyundai walks the eco talk with biogas plant, material recovery plant in Gurugram

auther Autocar Professional Bureau calendar22 Apr 2025

Operational since October 2022, the facility targets sustainable waste management in Gurugram by undertaking scientific ...

Rajiv Bajaj reappointed MD and CEO of Bajaj Auto for five-year term

auther Autocar India calendar19 Mar 2025

Bajaj Auto’s Board of Directors has approved the re-appointment of Rajiv Bajaj as the company’s MD and CEO for another f...