Mahindra's Canada-Based Associate Firm Winds Up

Amid a huge diplomatic firestorm between the two countries, the Canada-based associate firm of Indian auto giant Mahindra & Mahindra, Resson Aerospace Corporation, has ceased to exist, the company said in its regulatory filing. The timing of the move has led to speculations on social media, but the reason isn't yet clear. Mahindra & Mahindra hasn't issued any statement on the same.

The Mumbai-based automaker held an 11.18 per cent stake in the firm, which had filed for a voluntary winding-up.

"Resson has received a Certificate of Dissolution from Corporations Canada dated September 20, 2023, which was informed to the company," Mahindra & Mahindra (M&M) said in a regulatory filing.

Consequent to this, Resson has ceased to be in existence and has also ceased to be an associate of the company with effect from September 20, 2023, it added.

"Upon liquidation of Resson, the company is entitled to receive approximately 4.7 million Canadian Dollars (equivalent to Rs 28.7 crore) as distribution of proceeds towards Class C Preferred Shares held by the company," M&M said.

Shares of M&M were trading 1.93 per cent down at Rs 1,602.55 apiece on the BSE.

Canadian Prime Minister Justin Trudeau today repeated his charge that "Indian government agents" were involved in the June killing of Hardeep Singh Nijjar, a Canadian citizen who was a wanted terrorist in India. He said there are "credible reasons to believe" so, but did not give any evidence.

India has angrily rejected the allegation and flagged "politically condoned hate crimes and criminal violence" in Canada. The government said Canada has not shared any information regarding Nijjar's killing.

The government has suspended visa services in Canada citing "security threats" that are not allowing their officials to carry out visa functions.