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Mahindra and Mahindra to buy Italian design house EnginesEngineering

Mahindra & Mahindra (M&M) signed an agreement with Engines Engineering s.p.a. of Italy and agreed to acquire 100 per cent stake in Engines Engineering, the new legal entity which will be formed by transferring the business of Engines Engineering s.p.a. However, the transaction amount was not disclosed and it is subject to receipt of necessary approvals. An auto components division of M&M said,

Continuing its vision to create ‘an art to part’ entity, M&M through Systech has been looking at acquisition of a reputed design house. Systech’s engineering services business has grown by a factor of ten in the last four years and continues to grow at the same pace as it provides its unique domain knowledge in the field of automotive and aerospace design. The demand for offshoring of engineering services has been growing rapidly. Acquiring a design house like Engines Engineering provides us the perfect vehicle to penetrate into markets of Europe, China and Russia”. Engines Engineering is based in Castenaso near Bologna. Its revenues are about $12 million and it is in the business of two-wheeler design and developing of motorcycle prototypes

The Italian firm, with revenues of about $12 million, is focused on developing motorcycle prototypes and two wheel design. Mahindra has acquired components makers in Europe in recent years to access new technologies and markets.