India Iconic Car Brand Ambassador to be symbol of the High in power corridors, has changed hands. Hindustan Motors Selling it to European major auto giant Peugeot for Rs 80 crores.
CK Birla group firm has inked an agreement with Peugeot SA effect.
Ambassador car has been discontinued from Market. An agreement has executed between Hindustan motors and Peugeot SA for the sale of Ambassador Brand, it includes trademarks for whooping worth of Rs.80 Crores.
Peugeot SA Group has inked a partnership with CK Birla group to re-enter the biggest Indian Market with an initial investment of INR 700 crore(100 Million Euros) to setup vehicle and power train manufacturing in Southern India (Tamilnadu).
Two Groups has an tie-up for Joint venture between the companies.
New company will start 1,00,000 vehicles per year and followed by incremental investment to support a progressive ramp-up of the long-term project.
Powertrains will cater to the domestic market requirement and global OEMS.
As per sources, industrial set-up will be supported by significant level of localisation in order to attain necessary cost competitiveness.
Indian automotive market has good potential growth which is expected to reach 8-10 Million cars by 2025 from the current 3 million indicated last year(2016).
PSA Group sells three brands – Peugeot, Citron and DS — is no stranger in India, having a partnership with the erstwhile premier family , resulting in joint venture Peugoet PAL India. JV has pulled out in 2001.
Group has made repeated attempts to return in Indian Market in 2009 , and group has decided to go slow on plans to kick off operations in India due to global economic slowdown.
PSA group has announced to re-enter the Indian Market in 2001 with mid-sized sedan, how ever did not materialize.
CK Birla group is better known for the discontinued Iconic Ambassador car that was manufactured by Group firm Hindustan Motors.
PSA Group has presence in technology automotive, home and building , healthcare and education.