Japanese car-maker Nissan plans on taking a step forward and inching closer to be a market leader by acquiring stakes at Defiance Technologies which is owned by the Hinduja Group. Defiance Technologies has been known for designing and engineering capabilities. Moreover, the company also provides enterprise (EME) services and solutions for aerospace, defense, automotive, industrial and general manufacturing industries. Defiance Technologies has been a key player in the development of recently launched Datsun Go in the country. As per sources, the company has been particularly impressed by the way Defiance technologies has managed to control the overall development cost that has resulted in launch of attractively priced hatchback.
Nissan is expected to acquire about 20 – 40% share in Defiance Technologies. Ashok Leyland a subsidiary of Hinduja Group also holds about 29% stake in Defiance Technologies. The company is currently burdened under a debt of about Rs. 5,500 crore and intends on reducing the debt by about Rs. 1,500 crore in Financial year 2014.
Speaking more on the scenario, Ashok Leyland spokesperson said, “We are looking at various aspects of generating resources to achieve these objectives and in the process many ideas get tossed around and discussed. Suffice to say we are committed to the goals we've set for ourselves and will be happy to keep you informed of the path that leads us to our objectives.” Nissan India spokespersons have declined commenting on the situation until things have reached on solid grounds.
Source: ET
