Is the Mahindra chairman's remark to invest W1.3 trillion in Ssangyong Motor true?
Is the Mahindra chairman's remark to invest W1.3 trillion in Ssangyong Motor true?
  • Lee Jun-sung
  • 승인 2018.10.04 11:54
  • 댓글 0
이 기사를 공유합니다

It means Ssangyong Motor's self-financing, not direct investment


It has been confirmed that the remark by India's Mahindra Group chairman that he will invest 1.3 trillion won in the next three to four years in Ssangyong Motor does not mean direct investment.

While meeting President Moon Jae-in who made a state visit to India in July, Anand Mahindra, chairman of the Mahindra Group, said, "So far, the group invested 1.4 trillion won in Ssangyong Motor and make an additional investment of 1.3 trillion won in the coming three to four years as part of its efforts for the motor company's sustainable growth."

However, it was found that the Mahindra Group will not invest cash in Ssangyong Motor but reinvest Ssangyong's earnings into the motor company. A high-ranking official of Ssangyong Motor recently said in an interview with Oh My News, "The chairman's remark means the company's investment to come, not direct investment of 1.3 trillion won."

This means that Ssangyong will not receive the money from the Mahindra Group, but will provide it on its own. Whenever the Mahindra Group revealed its plan to invest in Ssangyong, some media and markets mistook it as direct investment. Some critics say that it is not a direct investment and it is just a condescending remark.

Ssangyong officials, however, say the investment is clear because its own funds are being used to develop new cars and new technologies instead of paying dividends to major shareholders.

Meanwhile, Ssangyong`s labor union stressed that only if the Mahindra Group invests more aggressively, such as capital increase, the company can get out of the chronic deficit. Ssangyong`s share price skyrocketed in July when the chairman mentioned his investment.

삭제한 댓글은 다시 복구할 수 없습니다.
그래도 삭제하시겠습니까?
댓글 0
계정을 선택하시면 로그인·계정인증을 통해
댓글을 남기실 수 있습니다.

  • #1206, 36-4 Yeouido-dong, Yeongdeungpo-gu, Seoul, Korea(Postal Code 07331)
  • 서울특별시 영등포구 여의도동 36-4 (국제금융로8길 34) / 오륜빌딩 1206호
  • URL: / Editorial Div. 02-578-0434 / 010-2442-9446. Email:
  • Publisher: Monica Younsoo Chung. Chief Editorial Writer: Kim Hyoung-joong. CEO: Lee Kap-soo. Editor: Jung Yeon-jin.
  • Juvenile Protection Manager: Yeon Choul-woong. IT Times Canada: Willow St. Vancouver BC, Canada / 070-7008-0005.
  • Copyright(C) Korea IT Times, Allrights reserved.