House> Companies> News> M&M to increase stake in Meru to 100%, Pravin Shah to take over as new CEO
2 min read. Updated: 02 May 2021, 11: 55 PM IST Tarush Bhalla
Mahindra and Mahindra Ltd (M&M) said that it has actually consented to buy the shares it didn't already own in Meru Travel Solutions Pvt
Mahindra and Mahindra Ltd (M&M) said that it has actually consented to purchase the shares it didn't currently own in Meru Travel Solutions Pvt. Ltd (Meru) from existing investors.
This would take M&M's stake in Meru to 100%from 43.2%. M&M will acquire 44.14%shares from private equity financier True North and others for an amount of 7603 crore and 12.66%shares from creator Neeraj Gupta and promoter Farhat Gupta, for 2163 crore.
Neeraj Gupta, ceo of Meru and its system Meru Movement Tech Pvt. Ltd, will be stepping down from his position and will continue as a staff member until 30 June.
” The last two years in the movement market, building Meru to end up being a household name in the country has actually been exciting. Under the able management of Dr Anish Shah, I am positive that Meru will rise to higher heights in the times to come,” said Gupta.
Gupta likewise works as the director of 2 other Meru subsidiaries– V-Link Automotive Providers Pvt. Ltd and V-Link Fleet Solutions Pvt. Ltd.
” At the outset, I wish to thank Neeraj Gupta and the team at Meru for developing a pioneering brand name in the shared movement area in India. Our association with Meru is developed on our engaging method to scale our shared mobility organizations,” said Shah, handling director, Mahindra Group.
Pravin Shah, who was earlier the president and chief executive of the vehicle division at M&M till March 2017, will take control of as the new CEO of Meru and its subsidiary business with effect from 1 May.
In 2019, M&M had actually consented to buy a controlling 55%stake in Meru for 103 crore. As a part of its exchange filing, the auto-manufacturer had likewise stated that it will increase its stake to 100%in time.
Founded in 2006, Meru runs in the airport transfer business and supplies staff member transport services to Indian corporates.
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