Mahindra and Mahindra Ltd has increased its stakes in Meru Travel Solutions limited by acquiring 44.14 per cent shares from private equity investor- True North and others for an amount of Rs. 76.03 crores and 12.66 per cent from Neeraj Gupta and Farhat Gupta for Rs. 21.63 crores. With this new acquisition, Mahindra has completely acquired Meru taking its stakes to 100 per cent. The Indian automaker has plans to expand its reach in the mobility service business with the latest acquisition. Pravin Shah will take charge of Meru as the new CEO. Shah was earlier President Automotive- Mahindra till March 2017.
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Meru cabs also started with sanitised cabs service post COVID-19 outbreak.
Commenting on the acquisition, Anish Shah, MD and CEO, Mahindra Group said, "At the outset, I would like to thank Neeraj Gupta and the team at Meru for building a pioneering brand in the shared mobility space in India. Our association with Meru is built on our compelling strategy to scale our shared mobility businesses. Pravin has agreed to take this critical responsibility of the business and to develop sustainable and scalable business strategies."
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Meru Cabs was founded in 2006.
Neeraj Gupta, Founder CEO and Whole Time Director- Meru said, "The last two decades in the mobility industry, building Meru to become a household name in the country has been exhilarating. The time is right for me to pursue newer interests and handover Meru in the safe hands of the Mahindra Group, one of the finest corporate houses in the country. Under the able leadership of Dr. Anish Shah, I am confident that Meru will rise to greater heights in the times to come."
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Mahindra Electric has earlier tied up with Meru to supply e-Veritos.
Meru Cabs was founded in 2006 and was one of the pioneers in the cab aggregator business. It started the trend on cab booking over phone and providing AC cab service at your doorstep. Meru has also been introducing electric vehicles in its fleet and has a wide operation network at airports in multiple cities and employee transportation business. The company will not only help Mahindra to tap a new sector, but also will facilitate faster EV adoption in fleet business.
