Mahindra & Mahindra has raised its shareholding in Finland-based Sampo Rosenlew Oy from 74.97 per cent to 79.13 per cent.
The cost of acquiring 1,050 more equity shares is about Rs 31.15 crore, the company said in regulatory filings at stock exchanges on Wednesday.
Mahindra & Mahindra has been a shareholder in Sampo Rosenlew since July 2016. Since then the two compes have closely worked on a global alliance to drive growth of their combine harvester and forest machine businesses in various parts of the world.
In line with Mahindra's governance principles for associate compes, Sampo continues to be run as a standalone, independent business unit while simultaneously leveraging synergies where possible.
Sampo is developing a new range of combine harvesters for developing markets and for specialty crops. Mahindra & Mahindra and Sampo will jointly focus on the combine and specialty harvester business in Asia, Africa and Eurasian Economic Union countries and Latin America.
Mahindra & Mahindra is the world's largest farm tractor manufacturer by volume. Harvesting machinery is the second largest category in the global farm equipment industry.
Mahindra & Mahindra said its scale in tractors and Sampo's expertise in combine harvesters allows both compes to offer a broader product portfolio to address the needs of farmers in various countries.
In India, the combine harvester market is currently much smaller than tractors but is growing rapidly with the penetration of mechsation.
"It is imperative that the company builds a strong position in this product line for India and other export markets," the company said in a statement.
Founded in 1853, Sampo clocked a turnover of 49 million euros (about Rs 421 crore) in the year ended March 31.
( With inputs from ANI )
Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor