Hyundai Motor India Limited (HMI) has completed acquisition of the General Motors’ Talegaon, Maharashtra plant. Taking of the possession of the plant happened after fulfilment of certain conditions and receipt of regulatory approvals from respective government authorities and relevant stakeholders. The Asset Purchase Agreement (APA) included assignment of land and buildings and acquisition of identified assets of the plant. HMIL is expected begin production at the facility by 2025.
The company also signed a Memorandum of Understanding (MoU) with the Maharashtra government in the presence of the Minister of Industries, Uday Samant and Un Soo Kim, MD and CEO of the company. It was signed in Davos in the backdrop of the World Economic Forum (WEF). Under the agreement, the company has committed an investment of INR 6,000 crore in the state.
Investments planned to upgrade the Talegaon plant
The Talegaon plant has an existing annual production capacity of 1,30,000 units, using which, HMIL, plans to expand its cumulative annual production capacity one million to achieve its strategic goal in the market. The manufacturer also plans to make phased investments for the purpose of upgrading the existing infrastructure and manufacturing equipment at the plant. These investments are aimed at bringing the plant up to the brand’s global operating and manufacturing standards.
A commitment to Make-in-India initiative
With the acquisition of the plant, Hyundai has highlighted its commitment to the Indian government’s Made-in-India initiatives. “India is a very important market for Hyundai Motor Company, and we are committed to provide benchmark creating products and technologies to Indian customers. The acquisition of Talegaon plant reinforces our commitment to ‘Atmanirbhar Bharat’, by making India a hub for advanced smart mobility solutions, Make-In-India for the world,” said Kim.
Hyundai’s current India portfolio
Hyundai India currently boasts a network of 1,366 sales points and 1,550 service points across the country. It offers 13 car models across segments including Grand i10 NIOS, i20, Aura, Exter, Venue, Verna, Creta, Alcazar, Tucson, Kona Electric and all-electric Ioniq 5 SUV. The company has a state-of-the art manufacturing facility near Chennai. The company also exports to 88 countries across Africa, the Middle East, Latin America, Australia, and Asia Pacific.