Mahindra & Mahindra Limited (M&M) on December 5 announced that it has acquired 36.63 percent of share capital of Meru Travel Solutions at Rs 44.71 crore in the first tranche of investment.
As per the regulatory filing, M&M, in a letter dated August 31, 2019, said it had signed a share subscription agreement for subscribing up to 55 percent of the equity share capital of Meru Travel Solutions Private Limited in tranches.
After the investment of the first tranche in Meru, it will have the right to appoint majority of the Directors on the Board of Meru, the regulatory filing added.
Meru and its subsidiaries have now become a subsidiary of M&M.
Meru is a holding entity and operates in the ride hail segment and corporate transportation solutions space via its subsidiary companies .
With this move, M&M hopes to enter the corporate shared mobility space, an area of strategic interest to the company which is also keen to grow its presence in the shared mobility space.
Earlier in February, the company ventured into the shared mobility space with the launch of Glyd. Prior to this, it entered the app-based cargo aggregator business in 2015 through the brand SmartShift.
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