Hindustan Motors plans

Hindustan Motors Limited (HML) has decided to demerge and transfer its Chennai car plant as a going concern to its fully-owned subsidiary organisation Hindustan Motor Finance Corporation Limited (HMFCL). The remaining business and interests of HML will continue to be under the parent company.

HML manufactures and markets premium Mitsubishi passenger vehicles from its third plant situated at Tiruvallur in Tamil Nadu.

Lancer was the first Mitsubishi vehicle to be introduced in India by HM in 1998 and it was followed by Pajero SFX (2002), Cedia (2006), Montero (2009), Outlander (2010) and Lancer Evolution X in 2010.

HMFCL will issue and allot to the shareholders of HML, one equity share of Rs 5 each in HMFCL credited as fully paid up for every 13 equity shares of Rs 5 each fully paid-up held by them in the capital of HML.

Hindustan Motors, the flag ship of the CK Birla group, was established during the pre-Independence era at Okha in Gujarat. Operations were moved in 1948 to West Bengal. The company also runs operations at Pithampur near Indore in Madhya Pradesh.

ALSO READ

PM: Govt initiating more measures to attract investments

Cautious RBI cuts repo by 25 bps, says little space for more easing

‘Govt mulling stronger laws to block Ponzi schemes’

Unilever plans to spend up to $5.4 bn to ramp up stake in HUL