The acquisition will be carried out in two tranches: 43.96% from the promoter, Sumitomo Corporation, and 15% from the public shareholder, Isuzu Motors Ltd. Following the deal, M&M will launch an open offer to acquire up to 26% of SML Isuzu’s equity from public shareholders at Rs 1,554.60 per share, in line with SEBI’s takeover norms.
The CCI granted its unconditional approval on June 17, 2025, under Section 31(1) of the Competition Act, 2002—clearing a key regulatory hurdle. M&M is now expected to proceed with the share purchases and the open offer process.
With this acquisition, M&M aims to strengthen its presence in the commercial vehicle segment above 3.5 tonnes. The company currently holds a 3% market share in this category, which it expects to double to 6% post-acquisition.
M&M is targeting a market share of 10–12% by FY31 and 20% by FY36, the company said in a statement.
SML Isuzu, which holds a 16% share in the ILCV bus segment, reported operating revenue of Rs 2,196 crore and EBITDA of Rs 179 crore in FY24.Also Read: 10 midcap stocks with more than 20 buy Calls: Analysts see up to 25% upside
M&M shares target price
According to Trendlyne, the average target price for M&M stock is Rs 3,562—an 18% upside from current levels. Among the 37 analysts tracking the stock, the consensus rating is ‘Strong Buy’.
Technically, M&M’s Relative Strength Index (RSI) stands at 48.4, indicating neutral momentum. The MACD is at 26.7—above the center line but below the signal line.
M&M shares have gained 11% over the past three months and are up 114% in the last two years. The company’s current market capitalisation is Rs 3,74,028 crore.
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