Indian automaker Mahindra and Mahindra is hoping to close a deal on Aston Martin by the end of this week, having topped a previous offer from Italian private equity firm InvestIndustrial.

Kuwait-based Investment Dar continues to deny that it is considering bids for the British automaker, but sources are saying that bidders are figuring out issues regarding management control if a sale is to take place. It is believed that InvestIndustrial placed a bid around $400 million for Investment Dar’s stake in Aston Martin.

SEE ALSO: Aston Martin ‘For Sale’ Rumors Heat Up

Many are questioning the logic behind Mahindra’s acquisition of Aston Martin, seeing it as an opportunity to purchase a “trophy” brand that doesn’t serve an immediate benefit to the Indian automaker. Of course an investment of funds would immediately prove beneficial to Aston Martin, a brand that only sold 4,200 vehicles last year.

“It’s difficult to visualize a tractor and an Aston Martin in the same garage,” said Mads Kaiser, a fund manager with JI India Equity Fund. “The acquisition will broaden their portfolio but doesn’t add anything to their tractor or India portfolio.”

[Source: Automotive News]

After a failed U.S. launch that resulted in lawsuits and lost dollars, Indian aautomaker Mahindra & Mahindra is setting up a technical center in the Detroit suburb of Troy, once again with hopes of bringing the brand to the States.

A compact pickup truck was the vehicle that Mahindra was trying to bring to America, but the original launch didn’t pan out because of complications with its business partner, Global Ventures.

The new technical center is said to be strictly for engineering, but it would make sense that it will also help Mahindra engineer its compact pickup for our market. General Motors, Navistar, Volvo and Bentley have already signed on as clients of the Mahindra engineering center.

Ever year, 500,000 vehicles are sold by Mahindra, a number the company plans on doubling by 2016. Part of this plan is to broaden the companies lineup, with a new electric vehicle already under development.

Undercutting the competition in terms of cost is the key to Mahindra’s engineering and design philosophy.

“We are able to innovate while designing in value,” said Rajan Wadhera, chief executive officer for technology and product development for Mahindra’ automotive and farm equipment sectors.

“Because of its ties to the automobile industry and motor sports, Detroit is known as the Motor City around the world. We wanted to be part of that culture,” Wadhera said, hinting again that Mahindra is aiming for the States.

[Source: Detroit Bureau]

Following a lawsuit filed on June 4, Indian automaker Mahindra is refuting the allegations that it $9.5 million cash and an additional $100 million in trade secrets.

“We have seen the press release issued by the legal firm of Diaz Reus and Targ which claims to represent some U.S. automobile dealers,” Mahindra wrote in a press release before denying the allegations of fraud, misrepresentation and conspiracy. That same release points out that the automaker was sued unsuccessfully by dealers in a Missouri court as well.

“Mahindra told the dealers that its light trucks and SUVs were ready for delivery to the U.S. market,” said attorney Michael Diaz in a press release. “However, Mahindra intentionally delayed certification of its vehicles after obtaining the dealership fees and trade secrets, and began pursuing other partners in the U.S. and elsewhere in clear violation of their commitments.”

Rewinding to the story’s start, Mahindra was supposed to begin delivering a line of light diesel trucks to dealers in 2008, but that never happened. Four years later, those who paid in to be a part of the deal are still hanging in limbo, growing understandably angry.

After several delays and the company cut ties with the American distributors meant to act as representatives in the North American market, though the plan to sell trucks was supposed to continue forward. Despite that, the promised launch repeatedly moved out of reach.

Now it seems steam is gathering again behind discontented dealers, though a conclusion to the case is unlikely soon.

Six years ago, Mercedes-Benz unveiled its new GL Class crossover, a full-size vehicle designed specifically for the North American market, at the 2006 North American International Auto Show.

Enjoying quite a bit of commercial success, Mercedes-Benz now prepares to unveil a refreshed second-generation 2013 GL Class for the upcoming New York Auto Show.

Details are limited but the GL Class will use the revised ML Class platform and remains a 3-row, seven passenger vehicle. As with all succeeding models, the interior is expected to be roomier and more refined while the mechanicals will deliver better fuel economy.

For the frugal and environmentally conscious, the big Benz crossover is available in the GL350 BlueTec diesel trim, which accounted for 40 percent of GL sales last year. Other available engine options include the GL550, even though a twin-turbo 4.7-liter V8 will replace the outgoing 5.5-liter V8. As Mercedes-Benz does not offer a V8 below the 4.7-liter, the middle-pack GL450 faces a bit of a dilemma. A special AMG GL64 is rumored to be in the works as well.

More information regarding the next generation Mercedes-Benz GL will be available as we draw closer to the New York Auto Show. The official release is expected later this year.

GALLERY: 2013 Mercedes-Benz GL spy photos

[Source: Motor Authority]

The relationship between Indian automaker Mahindra and Mahindra and Global Vehicles USA is finally severed, thanks to an arbitrator, but the six-year tale that lead to this divorce takes a little more telling than that.

When Mahindra decided to market a light truck in the U.S., it turned to company Global Vehicles USA. That was in 2006. More than half a decade later the company that originally dreamed of selling its wares in America is glad to walk away from the sordid bargain despite selling nothing.

In 2006, Mahindra announced intent to bring its T20 and T40 light trucks to the U.S. market — Global Vehicles USA would partner with the company to handle distribution. That fell apart in 2010 before the truck was set to launch when the agreement between the two companies expired. Global Vehicles said that Mahindra ended the contract while Mahindra maintained that Global Vehicles allowed the expiration to occur, which worked in Mahindra’s favor. Global Vehicles USA sought arbritration in London, saying that Mahindra had breached the contract.

Most recently, arbitration found that Mahindra did not breach the terms of contract and that the deal legitimately expired. The finding ends Mahindra’s partnership with Global Vehicles and makes it highly unlikely that the small turbo-diesel truck will ever make it to our shores, at least under cooperation by the feuding firms.

Mahindra, however, isn’t giving up on its American dream. After the Global Vehicles debacles, the Indian company bought a controlling share in South Korean company SsangYong Motor which announced its plan to bring vehicles to the U.S.

[Source: USA Today]

With court appointed administrators having taken over the remnants of Saab following the automaker’s bankruptcy, exactly what to do with the company’s assets is still very much an ongoing process.

Recently, Bloomberg reported that among the suitors interested in acquiring Saab assets, which so far have been Zhejiang Youngman Lotus Automobile Co. Ltd  and the Turkish government, Mahindra & Mahindra, the giant Indian conglomerate, has now also stepped forward.

Reportedly, talks are underway between Mahindra & Mahindra and Saab’s administrators. So far, as to which Saab assets are up for grabs, little has been revealed with Mahindra & Mahindra in particular remaining very tight lipped on the matter.

In addition, the same sources have reportedly said that despite these discussions, talks between the administrators and the Turkish government remain ongoing as well since Turkey has expressed interest in launching it’s own domestic vehicle brand. At present, acquiring Saab assets in order to do so appears to be the most logical step for the Turkish Government.

[Source: Bloomberg]

Is America ready for another strange-sounding offshore nameplate? That answer seems irrelevant in light of Ssangyong’s new plans to introduce their vehicles in America by 2016, with a goal to be in the marketplace by 2013.

Ssangyong has a history of making fairly rugged SUVs that have been sold in global markets. While their previous generation of light trucks benefited from Mercedes-Benz’s engineering expertise, their most recent vehicles, including the Rodius minivan, were considered to be some of the ugliest cars of all time.

Parent company Mahindra hopes that Ssangyong can move 20,000 cars in the United States, but with Mahindra’s failed experiment at importing pickups into the United States still looming in the background, dealers who previously agreed to become Mahindra franchisees are on guard, with one telling Automotive News that he fears the Ssangyong plans may just be a trojan horse for the eventual importation of Mahindra trucks.

Yet another bump on the increasingly rough road for the Mahindra pickup has emerged,this time in the form of fuel economy figures published by the Environmental Protection Agency.

According to the EPA, the four-wheel drive version of the TR40 with the automatic transmission and four-cylinder diesel; in four-door form, has been rated at just 19 miles per gallon in the city; 21 on the open road. By contrast the hoary old Ford Ranger, gets 14 mpg in the city, 18 on the highway, with it’s prosaic 4-liter V-6. It’s also rated at the same 5000 lb towing capacity as the TR40.

As you look at other pickups, the TR40s mileage is even less impressive – Ford’s full-size F-150 for example, equipped with the new 3.7-liter V-6; gets 16 mpg in the city, 23 on the highway.

The EPA findings come as another blow to the already well-publicized Mahindra/Global Vehicles fiasco. GV has stated for months, that the trucks would get around 30 mpg and fuel economy has been a major aspect of the US marketing campaign. Now with figures released that fail to measure up, the credibility of Global Vehicles is in doubt, and the truck’s chances for success are hampered.

Nevertheless, Global CEO John Perez said in a recent statement. “good fuel economy will be an important part of the truck’s appeal, and we’re eager to see the fuel economy for all of the models, especially the two-door, two-wheel-drive model, which Mahindra told us to expect would achieve close to 30 mpg.”

Perhaps he’s referring to Imperial miles per gallon instead of US measurements –  even still, 21 mpg US results in 25 imperial miles per gallon and the Mahindra truck would have to get at least 25 mpg US on the highway to achieve  the hallowed 30 mpg (Imperial); there’s also the factor of variables such as climate and different testing conditions to consider.

The MPG fiasco, is just another aspect of this whole thing which smacks of complete disorganization and chaos. For over two years, US buyers have been promised this truck and now with Mahindra and GV tied up in court battles and some 350 dealers having forked out the money for a franchise, so far with nothing in return, things are looking increasingly bleak.

The only potential benefit, is that with Ford; GM and Dodge pulling out of the small truck market, there’s potential room for a few new competitors; whether the TR40 will actually become one of those, still remains to be seen.

[Source: Autoblog]

India’s Mahindra will buy troubled Korean carmaker Ssangyong for $463 million, with Mahindra gaining a 70% stake in the company. The deal is expected to conclude in March, 2011.

“Together with its financial capability, Mahindra offers competence in sourcing and marketing strategy while Ssangyong has strong capabilities in technology,” Mahindra President Pawan Goenka said in the statement. “We are committed to leveraging the combined synergies by investing in a new Ssangyong product portfolio to gain momentum in global markets.”

Ssangyong, a maker of SUVs, trucks and minivans, faced a sales crunch when those segments fell out of favor with consumers during the economic crisis. Ssangyong’s most recent products, namely the Rodius, have been pilloried in the press for their bizarre designs, which some have labeled as the world’s ugliest cars.

[Source: Wall Street Journal]

In yet another development of the Global Vehicles USA/Mahindra Pickup saga, Global’s CEO John Perez is adamant that the small, diesel engined pickups will be available to U.S. buyers by spring 2011.

In a letter sent out to a number of interested buyers, Perez stated: “I know you are wondering when you will have the opportunity to get behind the wheel of one of these amazing, authentic, robust, fuel-efficient trucks at a Mahindra dealer near you,” and  ”while I cannot give you a firm answer on timing, I can tell you in my estimation, trucks will arrive in the spring of 2011.”

According to Perez, winter is the worst time to launch a vehicle, with September/October being a preferred choice, followed by March or April (like the  hugely successful, original Ford Mustang for example).

Yet despite his optimism it looks like this little truck might already be a lame duck in our market. Maindra brass have said there is still no ‘planned date’ for a U.S. introduction and with Mahindra’s certification from the EPA set to expire on December 31st next year, time is running out and along with it patience and interest from potential buyers.

“I am disappointed and broken hearted by this mythical ghost truck,” said one, while another declared that the whole thing was “starting to sound like the bigfoot saga.”

[Source: Pickuptrucks.com]

Beleaguered Indian truck manufacturer Mahindra has had their American launch delayed indefinitely, thanks to a series of legal battles between Mahindra and vehicle importer Global Vehicle Sales USA.

Global Vehicles argues that Mahindra wrongfully terminated the contract between the two companies. “The bottom line here is Mahindra now believes this is a huge project. They want us out of the way so they can go direct and save the money we were going to make,” Global Vehicles chief executive John Perez told the AP on Friday.

Mahindra’s managing director, Anand Mahindra said that the company has “no date” for entering the U.S.

[Source: Associated Press]

Will it ever end? Hot on the heels of the announcement by Global Vehicles that it had placed a $35 million order for U.S. spec Mahindra Pik-Ups; Mahindra has now issued a statement declaring the order ‘invalid’ and accusing Global Vehicles of theatrics and working hard at attempts to damage its reputation in the U.S.

Mahindra is also sticking fast to its claims that the contract between it and Global has expired and it is free to pursue its own channels of distribution for the trucks in the U.S. In fact, P. N. Shah, Chief Executive of Mahindra’s International Division; Farm & Automotive, stated that;  ”Mahindra’s goal remains to bring its vehicles to the U.S. market, satisfying the desires of U.S. consumers and dealers alike.” Quite how they’re going to do that remains to be seen. The saga continues…

Official press release after the jump:

PRESS RELEASE

Mahindra rejects any attempt by Global Vehicles to order Mahindra vehicles as it is invalid

Mumbai, September 27, 2010
Mahindra announced that it had received and was rejecting an invalid order for pick-up trucks from former distributor Global Vehicles USA, Inc. Mahindra views this order as another example of Global Vehicles’ policy of engaging in PR theatrics while pursuing an unnecessary lawsuit. This is Global Vehicles’ continued attempt to manipulate the press to damage Mahindra’s reputation. Mahindra also believes that this is an attempt by Global Vehicles to distract Mahindra from pursuing other plans to bring its vehicle to the US market.

As stated in Mahindra’s September 24 statement, the contract with Global Vehicles has expired. In light of this fact, Mahindra will be contacting U.S. dealers to make other arrangements for
distribution. Mr. P N Shah, Chief Executive, International division, Automotive & Farm Equipment sector said, “Mahindra’s goal remains to bring its vehicles to the US market, satisfying the desires of US consumers and dealers alike.”