Pininfarina is best known for its stunning designs of car brands.
By Sreejith Vallikunnu
India’s Tech Mahindra Limited, a leading provider of IT, networks and engineering solutions and BPO services, and Mahindra & Mahindra, part of the global $ 16.9 billion Mahindra Group, have jointly entered into an agreement with PincarS.r.l., to purchase a controlling stake in Pininfarina, an iconic Italian brand in automotive and industrial design.
Pininfarina is a styling company best known for its stunning designs of famous car brands – including Ferrari, GM, Peugeot and the Alfa Romeo. Started 85-years ago by founder Battista ‘Pinin’ Farina, the company is the Italian symbol for jaw-dropping car designs. It has designed almost 1,000 cars across brands over the years.
As part of the agreement, Tech Mahindra and M&M shall purchase 76.06% of Pininfarina shares from the current controlling shareholder PincarS.r.l. at a price of Euro 1.1 per share, a press release said.
Tech Mahindra will benefit from the Pininfarina’s focused presence in Italy and Germany, the hotbeds of European automotive manufacturing, as well as in the US and an emerging automotive market, China.
Anand Mahindra, Chairman of the Mahindra Group, said in a statement, “Pininfarina will add enormous value to Tech Mahindra’s portfolio of engineering services. But just as important is the fact that the legendary high-end design credentials of Pininfarina will significantly enhance the design capabilities of the entire Mahindra Group.”
Paolo Pininfarina, Chairman Pininfarina S.p.A. added, “In a globalized world, entrepreneurship and capital do not need a passport. We are joining hands with a $ 3.9 Billion Technology & Global partner, and part of the $ 16.9 billion global Mahindra Group, which will not only strengthen our Italian identity but will open more doors. Tech Mahindra’s global presence and global delivery model will allow us to compete for a larger pie of the business.”
Pininfarina has also designed high-speed trains, buses, trams, rolling stocks, automated light rail cars, people movers, yachts, airplanes, and private jets. In addition, the company consults on industrial design, interior design, architecture, and graphic design.
The deal is expected to close in the first half of 2016.