Mitsubishi Heavy Industries Ltd. (MHI), headquartered in Tokyo, and Mahindra and Mahindra Ltd. (MandM), part of the Mahindra Group headquartered in Mumbai, entered into a strategic partnership in the agricultural machinery field.

Under the definitive agreement signed today, Mahindra will invest USD $25 million for acquiring a 33 per cent voting stake in MHI subsidiary Mitsubishi Agricultural Machinery Co. Ltd. (MAM) through fresh issue of common shares and Class A (non-voting) shares of MAM. The deal is expected to close by October 1, 2015, with the new funding to be used to increase MAM's capital base.

The agreement was signed by Kazuaki Kimura, President and CEO, MHI Machinery, Equipment and Infrastructure, Katsumi Tottori, President, MAM and Rajesh Jejurikar, President and Chief Executive (Farm Equipment and Two Wheeler), MandM.

Mahindra is part of the USD $16.5 billion Mahindra Group's Automotive and Farm Sector - the #1 selling tractor company in the world, based on volumes and the only tractor manufacturer in the world to win the industry's top two quality awards - the Deming Application Prize and the Japan Quality Medal, from the Union of Japanese Scientists and Engineers. Mitsubishi Agricultural Machinery is a full range agri-machinery company producing and selling tractors, combine harvesters, rice transplanters and other agri-machinery.

Mani Iyer, President - Mahindra USA, Inc., stated, "We are honored to see our relationship with Mitsubishi evolve from that of a key supplier into a strategic global alliance. The coming together of these two global corporations will allow us to better serve our customers."

Commenting on the partnership, Kazuaki Kimura, President and CEO, MHI Machinery, Equipment and Infrastructure, "It is an honor for us at Mitsubishi to welcome Mahindra, who is the largest tractor manufacturer globally by volumes as a partner to Mitsubishi Agricultural Machinery. Today's signing will only build upon the wonderful relationship which both companies have shared for over a decade. I am sure that the commitment and expertise of both of the companies will open a new horizon to the business globally."

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