Farm Machinery: Mahindra Enters in Global Combine Harvester Business
Mumbai: By entering into a strategic partnership with Sampo Rosenlew, a combine harvester company based in Pori, Finland, Mahindra & Mahindra Ltd (M&M Ltd), a part of the USD 16.9 billion Mahindra Group, headquartered in Mumbai, India, announced its foray into the global combine harvester business. Mahindra will acquire a 35% equity stake in Sampo Rosenlew, under the transaction, which is expected to close by June 30, 2016. The two companies will work in tandem to grow their combine harvester business globally.
"Today, Mahindra is the world’s leading tractor company by volume, with an on ground presence in India, USA, China and Japan, besides many other export markets. We are now putting in place a strategy to build a full product line of farm equipment that goes beyond tractors and with this we will compete globally in both advanced and developing markets," says Dr. Pawan Goenka, Executive Director, M&M Ltd., while commenting on the development.
Mr. Rajesh Jejurikar, President and Chief Executive, Farm Equipment & Two Wheeler, M&M Ltd. said, "Sampo Rosenlew will enable Mahindra to grow in the global combine harvester business. The two companies will work closely towards taking Sampo’s combine harvesters to new markets globally, including India."
Sampo Rosenlew is a European combine harvester company, renowned world-wide for mid-sized combine harvesters. A cash positive, profitable company, Sampo Rosenlew is poised for further growth in the global markets. In FY2014-15 Sampo Rosenlew a joint venture partner in a combine harvester company in Algeria which had revenues of Euro 45 million in FY2014-15.
Sampo Rosenlew will also develop a new range of combine harvesters for developing markets and for specialty crops, together with its existing strategy in the core markets. Mahindra and Sampo Rosenlew will jointly focus on the combine harvester business in Asia.