Shamik Banerjee

Suzuki Motorcycle India joint MD Katsumi, left, and vice-president sales and marketing Atul Gupta pose next to the newly launched Suzuki Intruder M1800R in New Delhi

Japan's Suzuki Motor Corp (SMC) has bought out its Indian partner Satya Sheel from its two-wheeler venture in India – Suzuki Motorcycle India (SMIPL) — nearly four years after its formation.
Satya Sheel, who held the post of joint managing director in SMIPL, is believed to have entered into an agreement with SMC for selling his residual 10 per cent stake in the joint venture.
A person close to the development told Financial Chronicle on the condition of anonymity that a formal agreement for transfer of shares was likely to be concluded between the two parties soon which would be followed by an official announcement by SMC Japan. The valuation of the deal, however, could not be ascertained immediately. Satya Sheel, who was travelling abroad, said that he was not in a position to comment immediately.
Post this deal, SMIPL would become a wholly-owned subsidiary of SMC.
Satya Sheel-promoted Integra Overseas was renamed as SMIPL in 2004 after SMC acquired a majority 51 per cent stake in the Indian company.
The remaining 49 per cent stake at that time was held by Integra Overseas' promoters – Satya Sheel, Subhadra Khosla and Mauritius-based Metromode Technology. The Indian partners have been gradually reducing their stake in SMIPL and their stake was reduced to 10 per cent recently.
SMIPL operates through a manufacturing facility in Gurgaon, Haryana where it produces three motorcycle models — 125 cc Heat and Zeus and 150 cc GS150R — and a 125 cc scooter Access. It had invested Rs 400 crore initially to set up the plant and is in the process of investing an additional Rs 150 crore to enhance capacity.