According to reports from the Times of India, Ambani is considering purchasing the Indian business of the legendary car company, MG Motors, currently owned by Chinese company SAIC, which is looking to sell its business in India.
Along with Reliance, two-wheeler makers Hero Group, Premji Invest, and JSW Group are also reportedly interested in the purchase.
MG Motor is urgently seeking funds for the next phase of its business expansion, and sources say that the talks with potential buyers are in the advanced stage.
However, MG Motors India has dismissed talks with Reliance, Hero, Premji Invest, and JSW as mere speculations.
The company is also looking for an attractive valuation for the Indian unit regarding the deal.
Due to the tension between India and China, the company has been waiting for government permission to raise funds from its parent company for almost two years.
In response, MG Motors is looking for new customers to arrange funding for its expansion.
MG Motor India CEO Rajeev Chaba has expressed the company’s desire to make it as much an Indian company as possible.
aiming to Indianize the shareholding, board, management, and supply chain within the next two to four years.
The company plans to infuse a major stake in local partners and investors over the same period.
The deal is expected to be completed by the end of this year. However, there has been no official confirmation from Reliance Group on the matter.
