MUMBAI, Oct 1 (Reuters) - Ford Motor Co and Mahindra & Mahindra will form a joint venture company in India valued at $275 million that will develop, market and distribute Ford branded vehicles in the country, the two companies said on Tuesday.
The two companies have for months been negotiating the deal, which will see Ford hold a 49% stake in the new entity, while Indian rival Mahindra will own 51%, Reuters reported in April.
By shifting to a joint venture, Ford is changing its India strategy where it has long run an independent operation. India’s autos market is dominated by Asian automakers like Suzuki Motor Corp and Hyundai Motor Co.
Reporting by Promit Mukherjee Writing by Aditi Shah Editing by Euan Rocha