Mahindra executive to visit Seoul

The vice chairman of India‘s top utility vehicle maker Mahindra & Mahindra Ltd., which was named as the main bidder for Ssangyong Motor Co., will travel to Korea this week, the Indian company said Sunday. 

Anand Mahindra plans to meet with the management and creditors of the Korea’s smallest automaker, senior government officials and local reporters during his visit, Mahindra & Mahindra said in a statement. 

Ssangyong Motor selected the Indian company Thursday as the prime bidder for its majority stake. 

Mahindra & Mahindra is expected to sign a preliminary deal with Ssangyong to buy the stake on August 26, after putting down a deposit worth 26 billion won ($21.9 million) to fulfill its bid, which represents 5 percent of the bidding price. 

The Indian company is then expected to study Ssangyong Motor‘s books in September and finalize the deal in November. 

Ssangyong has been put under court receivership since February 2009, after its former Chinese parent Shanghai Automotive Industry Corp. abandoned it in the aftermath of the 2008 global financial crisis.

Anand Mahindra