Bajaj Tempo: Death of a brand

Firodia will hold an EGM on April 5 to approve the changes. The company has been directed by the government to propose the new name, as proposed under Section 22 of the Companies Act. The key reason for the name-change is a request from the group’s former financial collaborator, DaimlerChrysler AG (DCAG). ‘‘DCAG has requested the company to discontinue using the word ‘Tempo’ which is originally its registered trademark. The company has decided to go ahead with the new name after the government directed it to do so,’’ the company explained on Thursday.

Section 22 of the Companies Act provides: When a company name is identical to a registered trademark, the Central Government can direct a name change with an ordinary resolution.

‘‘DCAG exited the company in 2001 by selling their shareholding to the Firodias, but allowed easy transition on the name change front, owing to continued excellent business associations,’’ it said. DCAG signed a new technical collaboration with Bajaj Tempo in 2003 on the successful common rail diesel engine (CRDI).

Bajaj group still holds a stake in Bajaj Tempo, which, in turn, has a stake in Bajaj Auto. Even after Bajaj exited from Bajaj Tempo, the name Bajaj Tempo stayed on: Until Thursday’s announcement set the ball rolling for the end of a uniquely Indian era.