Edison Motors Formally Agrees To Acquire Mahindra-owned SsangYong Motor Company

Mahindra & Mahindra-owned SsangYong Motor Company has had a tough time since December 2020 as the South Korean carmaker was a step away from bankruptcy, and had filed for court receivership. But now it looks like there’s light at the end of the tunnel, as South Korean carmaker Edison Motors has formally agreed to acquire the cash-strapped SsangYong Motors.

Following the announcement, a spokesperson from Mahindra & Mahindra said in a statement, “We are happy to hear that the Edison Motors consortium has formally agreed to acquire SYMC and that the acquisition will progress to the next stage, in a defined time frame. We will cooperate with the new investor in enabling the transition.”

While Edison Motors is only known for making electric trucks and buses, the acquisition of SsangYong Motors should do well to enhance its product portfolio, especially considering Ssangyong is heading towards the electrification route. It currently retails the Korando e-Motion SUV and is set to expand the EV lineup with the U100 electric, scheduled for 2023. The batteries will be co-developed by Chinese carmaker BYD.

The carmaker will also introduce a midsize EV and has teased design sketches of an SUV which looks like a rugged off-roader heavily inspired by the Suzuki Jimny and Jeep Wrangler. Both models will utilise a new design philosophy called ‘Powered by Toughness.’

 

So what does this acquisition mean for Mahindra and SsangYong in India? As things stand, it could mean zilch, as Mahindra had already decided in June 2020 to stop investing in SsangYong Motors. That being said, we do have the Mahindra Alturas G4, essentially a rebadged SsangYong G4 Rexton, and the XUV300, based on the Tivoli SUV, sold in India. Mahindra is also slated to launch the XUV300’s electric counterpart sometime in 2022.