Mahindras to sell Swaraj Mazda stake to Sumitomo

Auto major Mahindra & Mahindra is understood to have decided to exit from commercial vehicle maker Swaraj Mazda by selling its stake to Japan's Sumitomo Corporation.

According to sources close to the development, M&M is preparing to sell its 14.04 per cent stake in Swaraj Mazda, it inherited after the acquisition of Punjab Tractors.

While details are being worked out, the sources said, the stake sale could be priced at around Rs 292 per share.

M&M officials could not be contacted immediately for comments over the development.