Mahindra & Mahindra Ltd. is consolidating its defence operations under Mahindra Advanced Technologies Ltd. (MATL), a wholly owned subsidiary, as per a recent stock exchange filing.
As part of this process, the group is establishing a holding structure under MATL, which was incorporated on April 5, 2025.
The consolidation will occur in phases.
M&M's Defence Consolidation: Phase 1
Initially, MATL will acquire an 88% stake in Mahindra Emirates Vehicle Armouring FZ LLC (MEVA), a subsidiary of Mahindra Defence Systems Ltd. (MDSL), for ₹33.66 crore. MEVA recorded revenue of Rs 101.93 crore, contributing Rs 90.09 crore to the group's total revenue.
M&M's Defence Consolidation: Phase 2
In the second phase, MATL will acquire Mahindra Telephonics Integrated Systems Ltd., another MDSL subsidiary, for Rs 4.53 crore. This entity added Rs 63.31 crore to the group's revenue. Subsequently, MATL will acquire MDSL from the parent company, Mahindra & Mahindra, through a share swap valued at Rs 1,218.16 crore. MDSL contributed Rs 957.78 crore to the group's revenue.
The entire sale process is expected to be completed by September 2025.
Currently, the defence segment accounts for less than 10% of Mahindra Group's total revenue, which stood at Rs 1,18,624.5 crore for the financial year ending March 2025.
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