Is M&M – Renault Marriage Heading for a Divorce?

Mahindra and Mahindra’s joint venture with French auto maker Renault has been sailing through choppy waters since a long time now. Although both the companies have earlier announced to work together in future to produce entry level sedan model Logan but the current scenario suggests otherwise.

India’s leading tractor and utility vehicle manufacturer, M&M has called back its top executives in the joint venture with Renault which indicates that the marriage is at least headed for a separation even if not a divorce. Three of the top M&M executives – Nalin Mehta (CEO of Mahindra Renault), Jyoti Malhotra (Head of Sales) and K Ravi (Services In-Charge) at MRPL joint venture have returned to the parent group company. Nalin Mehta has been appointed as CEO of Mahindra Navistar joint venture which marks as the most high profile returns back to the parent company.

On the other hand, Mahindra Renault Private Limited (MRPL) continues to undergo realignment of business operations to continue with its joint venture to produce it entry level sedan model Logan. Both the companies have been keeping a dignified silence over their internal rives but the matter has been under public discussion amongst the industry watchers.

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