Volkswagen, Suzuki stake deal sends Maruti stock up

By IANS,

Mumbai : Maruti Suzuki’s scrip shot up 3.82 percent Wednesday after global auto giants Volkswagen AG and Suzuki Motor Corp announced a share swapping deal.


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As per the partnership, Germany’s Volkswagen will purchase 19.9 percent of Suzuki’s issued shares, while the Japanese firm will invest up to half of the amount it receives from Volkswagen into shares of the German firm.

The Maruti Suzuki scrip, which opened at Rs.1,565, shot up 3.82 percent to Rs.1,629 around noon. It later on settled to a lower level at Rs.1,589.

“Both parties are focused on achieving synergies in the areas of rapidly growing emerging markets as well as in the development and manufacturing of innovative and environmentally friendly compact cars,” Volkswagen chief executive Martin Winterkorn said in a release.

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