1 hr ago
Embraer to Acquire 51% Stake in Mahindra Aerospace Arm
Mahindra has agreed to sell most of its ownership in an aerospace company called Novavayu Aerospace.
The buyer is Embraer, an aerospace company from Brazil.
Embraer will receive 51% of Novavayu.
After the deal, Novavayu will no longer be fully owned by Mahindra Defence Systems.
It will instead become an associate company.
Mahindra Defence Systems is expected to receive about Rs 5,10,000 for the shares.
The deal is expected to be completed by December 1, though the filing does not say which year.
Mahindra said Novavayu had not yet earned revenue or income as of the disclosure.
Embraer S.A. will acquire a 51% stake in Novavayu Aerospace Ltd. under an Investment Agreement.
Novavayu Aerospace will become an associate of Mahindra Defence Systems Ltd. after the transaction.
The deal is expected to be completed on or before December 1; the filing does not specify the year.
Mahindra Defence Systems is to receive approximately Rs 5,10,000 for the stake sale.
Mahindra said Novavayu had generated no revenue or income as of the disclosure and contributed no financial figures for FY ended March 31, 2026.
- Who
- Embraer S.A. and Mahindra Defence Systems Ltd., through its step-down subsidiary Novavayu Aerospace Ltd.
- What
- Embraer will acquire a 51% equity stake in Novavayu Aerospace.
- Where
- The announcement was reported from New Delhi; the companies involved are in India and Brazil.
- When
- The transaction is expected to be completed on or before December 1; the year was not specified.
- Why
- The articles do not state a reason for the proposed stake sale.
Key facts
- Stake to be acquired
- 51% of Novavayu Aerospace Ltd.
- Buyer
- Embraer S.A.
- Seller
- Mahindra Defence Systems Ltd.
- Consideration
- Approximately Rs 5,10,000
- Expected completion
- On or before December 1; year not specified
- Related-party status
- The company said the buyer is not related to the promoter, promoter group or group companies, and the transaction is not a related-party transaction.
- Novavayu revenue
- The filing said it had generated no revenue or income as of the disclosure.
Quotes
Mahindra and Mahindra
The company making the exchange filing about the proposed stake sale.
“The proposed transaction for sale of shares does not fall within the ambit of related party transactions.”
thehansindia.com
Sources
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