M&M sets up JV for armoured vehicles sale in UAE

17 Jun 2010

Mahindra & Mahindra Ltd and its subsidiary Mahindra Overseas Investment LLC (MOICML) Arabia Holdings have signed an agreement with Ras Al-Khaimah Transport Investments LLC to create a joint venture company in Ras Al-Khaima in the United Arab Emirates (UAE) for armouring vehicles.

M&M plans to leverage its leadership position attained through its division, Mahindra Defence Systems (MDS), for design and development of ballistic kits for vehicle protection.

Mahindra's Arabia Holdings Ltd has diverse business presence in the UAE in transportation, logistics, and real estate. Based out of Ras Al-Khaima in the UAE, the company has expertise in exporting armoured vehicles from local markets and an existing relationship with local agencies, MDS said in a release 

Ras Al-Khaima Transport and Investment LLC is a venture set up by Ras Al-Khaima Transport Authority for partnering with Mahindra and Arabia in the joint venture.

The joint venture would cater to the high potential markets of West and Central Asia as well as Africa. The JV would launch a number of MDS' armoured vehicles such as the Markesman, the up armoured Scorpio, cash-in-transit van, etc, which are very successful in India.

MDS said the JV is being set up in the UAE because of the low cost of manufacturing in the free zone of Ras Al-Khaima and its proximity with the GCC countries, African and Central Asian sub-continents ensuring easy access to these markets.