Mahindra & Mahindra , one of India's leading automobile manufacturers, has announced that all its engines are safe to operate on E20 fuel, a blend of 20% ethanol and 80% petrol. This declaration comes as India pushes forward with its alternative fuel initiatives, aiming to reduce reliance on fossil fuels and decrease emissions.

E20 Compatibility and Vehicle Performance

The company stated that vehicles manufactured after April 1, 2025, have been specially calibrated for E20 to ensure optimal acceleration and fuel efficiency. This move aligns with the government's push for increased use of ethanol-blended fuels.

While older Mahindra models remain safe for E20 use, the company noted that some drivers might notice minor changes in mileage and performance based on their driving behavior. However, Mahindra & Mahindra has committed to honoring all warranty obligations related to E20 usage, providing reassurance to its customers.

Nationwide Availability and Public Response

E20 fuel is now available at nearly 90,000 outlets across India, marking a significant milestone in the country's alternative fuel adoption. However, the rollout has not been without concerns, as some motorists have expressed apprehension about the potential impacts on older vehicles.

Government Support and Criticism

Road Transport Minister Nitin Gadkari has been vocal in his support for the E20 initiative. He dismissed online criticism of the E20 rollout as politically motivated, emphasizing that testing agencies have confirmed there are no implementation problems.

Mahindra's Stance on Alternative Fuels

Mahindra & Mahindra's announcement demonstrates the company's support for government initiatives promoting alternative fuels. By ensuring E20 compatibility across its range and offering warranty support, Mahindra is positioning itself as a responsible automaker committed to sustainable transportation solutions.

The move towards E20 fuel compatibility is a significant step in India's journey towards reducing its carbon footprint and enhancing energy security. As more automakers follow suit, it is expected to accelerate the adoption of ethanol-blended fuels across the country.

Mahindra & Mahindra Limited (M&M) has announced a significant corporate restructuring move that will expand its subsidiary network through strategic acquisitions. The company's wholly-owned subsidiary, Mahindra Holdings Limited (MHL), has executed Share Purchase Agreements (SPAs) to acquire stakes in two companies: Mahindra & Mahindra Contech Limited (MMCL) and PSL Media & Communications Limited (PSL).

Acquisition Details

Mahindra & Mahindra Contech Limited (MMCL)

MHL has agreed to purchase 80,000 equity shares, representing a 53.33% stake in MMCL, from Prudential Management & Services Private Limited (PMSL) for a consideration not exceeding Rs. 12.51 crore. This acquisition will increase MHL's shareholding in MMCL from 23.33% to 76.66%, making MMCL a subsidiary of both MHL and M&M.

PSL Media & Communications Limited (PSL)

MHL will acquire 34,992 equity shares, constituting a 31.99% stake in PSL, from PMSL for a consideration not exceeding Rs. 87.09 lakh. This transaction will increase MHL's shareholding in PSL from 18.06% to 50.05%, thereby making PSL a subsidiary of both MHL and M&M.

Impact on Subsidiary Network

As a result of these acquisitions, two additional entities will become subsidiaries of Mahindra & Mahindra:

1. New Democratic Electoral Trust (NDET): Currently, MMCL and PSL each hold a 19.83% stake in NDET. Following the acquisitions, M&M's shareholding in NDET (including its subsidiaries) will increase from 32.42% to 72.07%.

2. Kota Farms Services Limited (KFSL): MMCL currently holds a 6.02% stake in KFSL. After the acquisition, M&M's shareholding in KFSL (including MMCL's stake) will increase from 45.00% to 51.02%.

Financial Overview of Acquired Entities

Strategic Rationale

The company stated that these acquisitions are being undertaken to simplify the corporate structure, improve efficiency, reduce costs, and enhance transparency. The transactions are expected to be completed by December 10, 2025.

Company Profiles

• MMCL: Primarily involved in manpower recruitment and advisory services for business, including front and back-office support and human resource management.
• PSL: Engaged in printing, publishing, and circulating newspapers, journals, and magazines, as well as acting as advertising contractors and agents.
• NDET: A Section 8 company that distributes funds to registered political parties under the Representation of People Act, 1951.
• KFSL: Previously involved in the agri-inputs and food business, currently not generating revenue.

These strategic moves by Mahindra Holdings Limited are expected to streamline operations and strengthen Mahindra & Mahindra's overall corporate structure.