Automotive Updates - 20th January 2015

• Mahindra Two Wheelers Ltd. (MTWL) has announced that it has completed the necessary formalities to acquire 51% stake in Peugeot Motocycles (PMTC). The acquisition, which resulted in the satisfaction of all regulatory, legal and financial conditions of the agreement, was completed smoothly by both parties within a very short span of time. As part of the employee dialogue process and Anti-trust law, the Works Council consultation process has also been successfully completed. Under the terms of the agreement, MTWL has infused Euro 15 million into PMTC to finance projects implemented through the strategic partnership.(motorids.com)

• India Ratings and Research on Monday revised its outlook on the domestic automobile industry to “stable” from “stable to negative” for fiscal 2016. The revision is based on early signs of a recovery in the second half of fiscal 2015 and the bottoming out of the sales decline, the Fitch Group firm said in a statement. However, a significant spike in domestic volume may not be expected in FY16. The passenger vehicle (PV) segment is likely to post a year on-year volume growth of 2-5% in fiscal 2016 supported by a 3-5% growth in cars and a 4-7% growth in the utility vehicle segment. The commercial vehicle (CV) segment’s volume in FY16, it said, will be driven by medium and heavy commercial vehicles (MHCVs), with the volume of light commercial vehicles (LCVs) growing marginally.Read more at: http://www.livemint.com/Industry/PsTWizo0F0mggcifGBkHRM/India-Ratings-revises-outlook-on-domestic-auto-sector.html?utm_source=copy

• VE Commercial Vehicles Limited (VECV), the 50-50 joint venture between the Volvo Group and Eicher Motors Limited, launched the Eicher Pro 6000 Series of heavy duty trucks in India today. Developed in collaboration with the Volvo Group, the company launched the Eicher Pro 6031 and 6025 haulage trucks and the 6025T tipper.Read more: http://indianautosblog.com/2015/01/eicher-pro-6000-series-launched-in-india-165159#ixzz3PMeTLUbt 

image from lorry guru

• Varroc Engineering, the flagship company of the Rs 8,000 crore Varroc Group, has joined hands with Scorpion Automotive of the UK to design and develop security solutions for primarily two-wheeler markets in India and the world. The partnership, which is a technical collaboration between the two companies, will combine Scorpion’s technical capabilities with Varroc’s manufacturing competence to cater to the demand for vehicle security solutions globally. As per company officials, the product portfolio will also be extended to the four-wheeler and the commercial vehicle segments later. - See more at: http://www.autocarpro.in/news-national/varroc-partners-uk-scorpion-automotive-2w-security-systems-7432#sthash.eQj5flju.dpuf

• Madras Rubber Factory (MRF), India's largest tyre manufacturer is in advance discussion with BK Birla flagship Kesoram Industries to acquire its main tyre unit out of the two of Birla Tyres for a value that's far higher than the market capitalization of the entire diversified Birla conglomerate, said multiple sources involved. Read more at:http://economictimes.indiatimes.com/articleshow/45946914.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

• By the end of this year, Datsun’s portfolio in India will include the Go, Go+ and the small car based on the Redi-Go concept. However, Nissan, which expects over 50 percent of its sales to come from Datsun, knows that it has to further bolster the low-cost brand’s representation, especially in segments that are growing rapidly. Insiders have told Indian Autos Blog that a compact SUV/crossover will be a part of Datsun’s offering in the mid-term. A person, privy to developments, put a timeline to the launch of the Datsun compact SUV, saying that it will come after parent Nissan launches its compact SUV in India within a couple of years.Read more: http://indianautosblog.com/2015/01/datsun-compact-suv-for-india-165171#ixzz3PMeIIsBd 

• If a recent report from Economic Times is to be believed, owners of certain Renault car models  in India would need to make a trip to the workshop soon as the French automaker plans to recall 646 cars to fix faulty airbags.According to the report, the recall involves the Pulse hatchback and diesel-powered Scala sedan  manufactured between September 2011 and July 2012. Faulty airbags in the aforementioned models could potentially affect occupants’ safety.(carwale.com)

• Hinduja flagship firm Ashok Leyland plans to launch a fully electric bus 'Versa' in the country by 2017.The 36-seater bus, which is being showcased at the 4th Bus and Special Vehicle Show here, can go 90 miles in one charge and is a zero emissions vehicle."Depending upon the regulations, we expect to launch this vehicle in the country in the next two years," Ashok Leyland Vice President, Buses, T Venkataraman told PTI in Greater Noida .The vehicle comes as a completely built unit (CBU) from the company's UK based arm Optare.(businesstoday)