M&M launches two-wheeler Flyte

05 May 2009

Utility vehicles and tractor maker Mahindra & Mahindra Ltd. (M&M),  today introduced the Flyte as its first two-wheeler offering across all markets in India, as part of its strategy following the acquisition of Pune-based scooter maker Kinetic Motor Company in a Rs110 crore all-cash deal in July 2008 (See: M&M in aquisition deal with Kinetic Motors).

M&M has been evaluating an entry into the low-cost entry level two-wheeler segment (See: M&M evaluating entry into two-wheeler segments) possibly with an eye on the rural markets in which it has a strong hold through its tractor unit, Mahindra Tractors, one of the top three global tractor manufacturers in the world. 

M&M had also reportedly evinced an interest in Italian bike manufacturer MV Agusta, even while it was speculated to have been eyeing a friendly deal with Kinetic.
 
The Pune-based Kinetic Motor was reported to be looking for a buyer for its languishing two-wheelers business to retire its debt. It however, continues to hold a 20-per cent stake in the Mahindra two-wheler business.

The deal will enable Mahindra to design and market a range of scooters, value-engineered and high-end motorcycles for the Indian and global markets "covering every segment of the industry".

With its expansion it to the two-wheeler market, M&M will now cater to customers across a wider portfolio of product categories ranging from two-wheelers and three-wheelers to utility vehicles, commercial vehicles and passenger cars.

The two-wheeler products will cater to the personal mobility requirements of customers across the country.