Dec 3: Mahindra First Choice Services (MFC Services), a wholly owned subsidiary of the $ 20.7 billion Mahindra group, on Monday announced that it has entered into an asset acquisition agreement with the official liquidator of Carnation Auto (India) Pvt Ltd (CAPL), a multi-brand automotive sales and service company headquartered in Noida.
As a result, MFC Services will acquire key assets of Carnation’s car-servicing business including the trademark ‘Carnation’, its website, software licenses and Carnation’s workshop network. It will also drive MFC Services strategic vision of organizing the unorganized Indian automotive aftermarket industry.
Rajeev Dubey, Group President (HR & Corporate Services) CEO (After-Market Sector), said, “this strategic acquisition will strengthen Mahindra First Choice Services’ business and its leadership position in the Indian automotive aftermarket industry. It will also bring new growth opportunities, thanks to synergies between the two brands, and expanded access to new institutional customers including insurance companies and fleets.”
“We are pleased to welcome Carnation’s franchisees into the MFC Services family. With this acquisition, we will add significantly to MFC Services existing network of 330 workshops. This will enhance our presence across India and help us offer our customers a more comprehensive and attractive service solution.” said YVS Vijay Kumar, CEO, Mahindra First Choice Services.
According to the company, this asset acquisition does not include the liabilities and past dues of CAPL which is currently under liquidation. MFC Services will now increase its penetration in metro cities, especially in Delhi, the NCR and Mumbai, which are strategic to its business growth plans.