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Indian carmaker Mahindra & Mahindra Ltd. announced its willingness to lower its shareholdings to below 50 percent and give up its controlling status at SsangYong Motor Co. if it finds a new investor.
Mahindra has a 74.65 percent stake in SsangYong Motor.
Mahindra Managing Director Pawan Goenka also revealed that talks with potential investors are underway.
According to Goenka, Mahindra is having difficulty finding a new investor in SsangYong while keeping the majority stake.
The car company also emphasized that it does not plan to inject fresh capital into SsangYong.
In April, Mahindra's board had rejected an earlier plan to inject 230 billion won US$194 million into SsangYong for the next three years.
Instead, Mahindra would consider a one-time infusion of up to 40 billion in three months to SsangYong to help shoulder operations.
SsangYong Motor has reported net losses in the past 14 quarters through the second quarter of this year.
From January to July, SsangYong sold 56,846 vehicles, down 28 percent from 78,687 units in the same period last year.
Its lineup consists of the flagship G4 Rexton, Rexton Sports, Tivoli, and Korando sport utility vehicles.
