M&M to sell Sampo Rosenlew to TERA for over Rs 50 cr

New Delhi, Sep 29 (PTI) Mahindra & Mahindra on Monday said it will sell its Finnish combine harvesters and forestry machines arm Sampo Rosenlew Oy to TERA for over Rs 50 crore.

The company has entered into a share purchase agreement (SPA) with Tera Yatirim Teknoloji Holding Anonim Sirketi (TERA), under which it has agreed to sell its entire stake in Sampo Rosenlew Oy, a wholly owned subsidiary to TERA, Mahindra and Mahindra Ltd (M&M) said in a regulatory filing.

The consideration to be received by the company from TERA is EUR 50,00,000 (approximately Rs 52 crore at the prevailing foreign exchange rate), it added.

Consequent to completion of the aforesaid transaction, Sampo would cease to be a wholly owned subsidiary of the company, M&M said, adding that this divestiture aligns with its focus on opportunities that best position it for long term success.

Sampo has contributed meaningfully to M&M since it became part of the group. Some of the technologies developed by Sampo have been instrumental in building M&M's farm machinery capabilities, it added.

"By transitioning its ownership of Sampo to a new owner, the company believes it will enable Sampo to pursue new pathways for innovation and growth building on its rich heritage and understanding of the Finnish market," the filing said.

The expected date of completion of the transaction is October 6, 2025, it added. PTI RKL TRB