Maruti Suzuki’s board okays allotment of 12.3 million shares to Suzuki Motor Corp for Gujarat plant

The company aims to streamline its production with the acquisition of Gujarat plant.

Autocar Pro News Desk By Autocar Pro News Desk calendar 24 Nov 2023 Views icon6011 Views Share - Share to Facebook Share to Twitter Share to LinkedIn Share to Whatsapp
Maruti Suzuki’s board okays allotment of 12.3 million shares to Suzuki Motor Corp for Gujarat plant

Maruti Suzuki India’s board today approved the allotment of the company’s 12.3 million shares to Japanese parent company Suzuki Motor Corp on a preferential basis for acquiring the Gujarat plant.

In July, Maruti Suzuki announced its plans to terminate the contract manufacturing agreement with Suzuki Motor Gujarat and fully acquire it from Suzuki Motor Corp.

The shares with a face value of 5 rupees were allotted at a price of Rs 10,420.85 each and aggregate to Rs 12,841.1 crore­. Maruti Suzuki’s shares closed at Rs 10,469.35 rupees on the National Stock Exchange today.

Following the allotment, Suzuki Motor Corp’s stake in Maruti Suzuki will increase to 58.19% from the current 56.48%.

Maruti Suzuki, India’s largest passenger vehicle maker, looks to streamline its production with the acquisition of Gujarat plant.

With this acquisition, Maruti Suzuki will now directly manufacture its first electric vehicles as its production is planned at the Gujarat unit. The automaker expects to launch its first electric vehicle in 2024-25. 

RELATED ARTICLES
Adidas Partners with Mercedes F1 Team, Launches Performance Collection

auther Autocar Pro News Desk calendar06 Feb 2025

Adidas and Mercedes-AMG PETRONAS F1 introduce a new apparel line for the 2025 season.

Rane Holdings Posts Strong Revenue Growth but Profits Decline in Q3 FY25

auther Sarthak Mahajan calendar06 Feb 2025

Auto component major reports 48% revenue surge to ₹1,245.9 crore while PAT drops 91% to ₹4.2 crore amid rising costs; ni...

CNH India Looks to Double New Holland’s Share in Tractor Market By 2030

auther Kiran Murali calendar06 Feb 2025

The company is planning to expand its dealer network to 800 from the current 500 over the next two years.