M&M slips 2%; recalls 2300 units of Scorpio, XUV500, Xylo

Shares of Mahindra & Mahindra slipped 2 percent intraday on Wednesday. Investors are concerned that the auto major is recalling 2,300 units of different variants of its popular SUVs Scorpio and XUV500, and multi-purpose vehicle Xylo to rectify a defective vacuum pump in engines manufactured in May 2014.

The preventive inspection and replacement, if needed, of the vacuum pump would be free of cost for customers, who would be individually contacted by the company, Mahindra & Mahindra said in a statement.

“The inspection is limited to approximately 2,300 vehicles of Scorpio (Vlx/Sle/Lx), XUV500 W4/w6/W8 and Xylo H9/H8/H4 variants,” the company said.

Earlier in July, Mahindra & Mahindra had recalled around 23,000 units of select variants of Scorpio to rectify faulty pressure regulating valves.