SsangYong was originally a Korean carmaker. Mahindra acquired a 75% stake a while back. Although Mahindra is now doing well with its recent launches, such as XUV700 & Scorpio-N taking the market by storm, they also had rough times. They had been trying to sell the brand, looks like they have finally found a buyer. Let’s take a look.
SsangYong leaves India
Mahindra acquired a controlling stake in SsangYong in 2010 to establish itself as a global company. They focused on premium luxury SUVs and making an international image; we have seen their products, such as Rexton RX7, in India.
A while back, after the 56th Annual ACMA: Automotive Component Manufacturers Association, Convention Mahindra announced that they would discontinue SsangYong India and would not launch Tivoli. Instead, they made a car based on the Tivoli, which we know as the XUV300.
Mahindra & SsangYong
SsangYong has been under court receivership since over a year, waiting for a new buyer. Although this is not new for the brand, in 2009, when Mahindra bought it for $463 million, it was also under court receivership.
They specialised in luxury utility vehicles, making this a smart move for Mahindra, but things did not go as planned. When things went south, it caused Mahindra to pull the plug and led to the building of the XUV300 and the recent XUV400. Their flagship SUV Alturas G4 also came from the SsangYong house.
Who is taking over?
After various brands tried to buy SsangYong, a Korean chemical, it got approval. The KG group has acquired a 61% stake for $950 billion. But it seems like none of this has affected the brand and its plans.
Also Read: SsangYong Torres Revealed | Coming to India?
The ownership changes have not affected their plans for developing new models. They revealed a new mid-size SUV known as the Torres in June. They have also entered the electric vehicle market with EVs like e-motion.
Foreign brands have had a difficult time when it comes to surviving in the Indian market. Regardless of the industry, one needs to understand the customer and constantly update with time. This trend of foreign carmakers leaving India has continued since Ford, Chevrolet & Fiat. Which brand will be next?