Mr Anand Mahindra has not disclosed the amount of the 49% stake buy out in the JV and said Logan is an innocent car and deserves one more chance. Logan had been highly successful vehicle when it was launched but some how lost track down the line thanks to the Govt. policiy of cutting down the excise tax on the small cars.
Mahindra is allowed to build the Logan for the next five years in India and is working on various options on the Logan platform, a mini SUV on the Logan platform with a 1.5L CRDi engine is on the cars and is expected to hit the roads not less than 2012. Mahindra now has the rights to change the dimensions of Logan, that means we see lot of changes in the exterior, interior and a sub-4 meter car which is soon going to be launched as Logan CS pitted against Indigo CS.
Renault association with Logan will be used till the end of 2010 and from 18 months from now Mahindra will sell Logan as a different brand. Mahindra will pay royalty to Renault for each Logan cars sold as percentage per car which is bare minimum in terms of cost of the car.
