M&M to buy 51% stake in Peugeot’s scooter business

Gross collections of corporate tax increased 15.31 per cent at Rs 2,22,616 crore .

Mahindra & Mahindra has offered to buy a 51 per cent stake in French carmaker PSA Peugeot Citroen’s scooter business for euro 15 million, giving the Indian automobile firm access to European technology and premium models.

Mahindra Two Wheelers of the M&M group will invest euro 28 million (about Rs 217 crore) in Peugeot Motocycles. “Under the binding offer, Mahindra Two Wheelers would infuse euro 15 million into Peugeot Motocycles to finance projects implemented through strategic partnership, and further sale of shares by PSA, which would allow us to take 51 per cent stake in Peugeot Motocycles,” M&M executive director Pawan Goenka said.

M&M will also invest another euro 13 million at a later stage. Peugeot Scooters managing director Frédéric Fabre said, “The strategic partnership with the Mahindra & Mahindra Group will give us the opportunity to accelerate our geographic expansion. These are all

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opportunities to secure the future of Peugeot Scooters and give a future industrial site Mandeure.”

“Our focus is continuity on majority stake and we are not thinking going beyond 51 per cent now,” Goenka said. The loss-making Peugeot Motocycles employs 500 people and produces about 25 per cent of the firm’s scooters, mainly high-end models in its French unit. Its Chinese plant employs 300 people and produces 65 per cent of Peugeot Scooters’ volume. The remainder is produced in Taiwan.

Peugeot Scooters offers one of the most comprehensive range of scooters and mopeds, from 50cc to 400cc, including the successful three wheeled scooter — Metropolis, in the European market.

Net direct tax collection up 7% in H1FY15

New Delhi: Net direct tax collection during the first half of the current fiscal was just 7.09 per cent at Rs 2,68,836 crore while the gross collection was up by 15 per cent.

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According to a statement issued by the Central Board of Direct Taxes, the exchequer had raked in Rs 2,51,028 crore net direct tax during the April-September 2013-14 period. The gross direct tax collection stood at Rs 3,46,144 crore during the H1FY15 period as against Rs 3,01,063 crore a year-ago.

The government has fixed the budgetary target of gross tax receipts at Rs 13,64,524 crore, with Rs 7,36,221 crore to be collected from direct taxes, which include personal income tax, corporate tax, securities transaction tax and wealth tax.

The target for this year is 15 per cent higher than the last fiscal’s revised estimates.

While advance tax collection grew 15.28 per cent compared to 7.66 per cent growth during the same period in 2013-14, growth in tax deducted at source was 9.47 per cent as against 14.22 per cent in the same period last fiscal.

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Gross collections of corporate tax increased 15.31 per cent at Rs 2,22,616 crore .