Mahindra to make planes,acquires Aus cos

Marking its foray into the aerospace segment,Mahindra group said it plans to manufacture aircraft in the two-to-twenty-seater range and also announced acquiring majority stake in two Australian companies.

Mahindra Aerospace Pvt Ltd MAPL,belonging to Mahindra group,plans to invest Rs 175-crore over the next 4-5-years to manufacture 475 aircraft in the two-to-twenty-seater range and expects a peak turnover of Rs 650 crore from the segment.

The Anand Mahindra-led conglomerate also announced the acquisition of two Australian companiesAerostaff Australia and Gippsland Aeronautics.

Mahindra will hold a 75.1 per cent stake in each company,Systech Sector and Member of the Group Management Board,Mamp;M,Hemant Luthra,told reporters here.

A plant is being set up in Bangalore to complement these acquisitions and provide dual shoring and benefits to customers,he added.