I want to know why the Maruti-Suzuki shares are little bit sold of introducing the Maruti Suzuki plant opening in Gujarat.
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I want to know why the Maruti-Suzuki shares are little bit sold of introducing the Maruti Suzuki plant opening in Gujarat.
Topic has been moved to appropriate section.
Now coming to your question.
1. It is because the plan will be owned by Parent company Suzuki, Japan.
2. It will use Maruti, India's cash reserves to build the plant.
So, in my views, since this will not be asset of Maruti Suzuki India yet its funds will be used, this is confusing situation for investors or may be they are looking it as Suzuki's move to gain complete control over Muruti in future (their Indian partnership). Moreover, it is planned that this plant will make cars for Maruti-Suzuki India also, which means essentially they Suzuki will be selling cars to its Indian subsidiary which will be then sold in market. Though they will be primarily using it to make cars to export but those cars will not be exported by Maruti-Suzuki India, rather will be by Suzuki Japan.
So, those are my views, I am also interested to know what do you think ?
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Ok sir thanks for the cooperation for bringing this thread into view for all as I am just a trader and want to know the impact.