New Delhi, March 12 (IANS) Automobile manufacturer Eicher Motors on Monday said the company has decided to shut its joint venture — Eicher Polaris Private Ltd (EPPL) — with US-based Polaris Industries Inc.
The decision was taken in a meeting held last week on Friday (March 9), Eicher Motors said.
“The initial interest (among customers) could not be sustained, and subsequent sales performance was significantly slower than the company’s expectations,” it said in a regulatory filing to the BSE, adding: “The board of EPPL has concluded, in the present circumstances, it is in the best interest of all stakeholders to close the operations of the company.”
EPPL was incorporated in October 2012 and in June 2015, it launched a personal utility vehicle, “Multix”.
The company will however, continue to provide spares and service support for the fleet of Multix vehicles on the road, the filing said.
“As of December 31, 2017, EML (Eicher Motors) had invested Rs 289.50 crore in EPPL. The sums invested so far, together with additional investments, as required to close down the operations, shall be written-down in accordance with the applicable regulations,” it said.