Mahindra & Mahindra Sells Equipment Subsidiary Sampo Rosenlew To TERA

Mahindra & Mahindra announced on Monday its decision to divest its Finnish subsidiary specialising in combine harvesters and forestry machinery. The company will transfer ownership of Sampo Rosenlew to Turkish investment firm TERA for around Rs 52 crore. M&M has signed a share purchase agreement with Tera Yatirim Teknoloji Holding Anonim Sirketi (TERA) for the complete sale of its holdings in Sampo Rosenlew Oy, according to a regulatory disclosure filed by Mahindra and Mahindra Ltd.

The Indian automobile and farm equipment manufacturer will receive EUR 50,00,000 (roughly Rs 52 crore based on current exchange rates) from TERA as part of the deal.

Strategic Realignment

Following the transaction's completion, Sampo will no longer function as a wholly owned subsidiary of the Indian conglomerate. M&M stated that the sale reflects its strategic emphasis on business opportunities that strengthen its position for sustained future growth.

The company acknowledged Sampo's valuable contributions since joining the Mahindra group. Technologies developed by the Finnish unit have played a significant role in enhancing M&M's agricultural machinery expertise.

"By transitioning its ownership of Sampo to a new owner, the company believes it will enable Sampo to pursue new pathways for innovation and growth building on its rich heritage and understanding of the Finnish market," the filing said.

Transaction Completion Scheduled for October 2025

The deal is expected to close on October 6, 2025, marking the end of Mahindra's ownership of the Finnish farm equipment manufacturer.