SML Mahindra Ltd

Incorporated in July 1983, SML Isuzu Limited (SML) was formerly incorporated as 'Swaraj Vehicles Limited'. The name of the Company was changed from Swaraj Mazda Limited to SML Isuzu Limited on 3rd January, 2011. SML was jointly promoted by Punjab Tractors Ltd. (PTL) in India and Mazda Motor Corporation & Sumitomo Corporation in Japan. Sumitomo Corporation, Japan, a body corporate, is the Promoter of the Company and holds 43.96% shareholding of the Company. The company came out with a public issue in May '85 to part-finance its projects. Sumitomo Corporation, Japan and Isuzu Motors, Japan respectively holds 44% and 15% shareholding in the Company. In October 2004, SML's Technical Assistance Agreement with Maza ended. Subsequently on 18th August 2005, Maza sold to Sumitomo Corporation, Japan its entire holding in SML of 1638000 equity shares representing 15.62% of the equity capital of SML. Thus Sumitomo Corporation's equity holdings in the company has gone up to 41.03%. Also in the end of June 2005, PTL has sold to Sumitomo 1573000 equity shares of SML out of PTL's equity holding of 3045000 shares in SML. During the year 2004-05, SML's market share in the comparable 5 to 10 Ton GVW range (market size 103000 vehicles) was 12%. However SML's market share in the comparable passenger segment was higher at 19%. SML's plant location is at Nawanshahar in Punjab. Starting from 2-wheel bases, its model range now spans 5-wheel bases. Carrying capacities have spread from 3.0 ton to 6.0 ton in the goods segment (GVW 5.8 to 8.8 ton) and from 12 to 41 seaters in the passenger segment. The company has also the distinction of producing India's first factory finished buses. In recent years, Swaraj Mazda has successfully introduced India's first 4-wheel drive LCVs and CNG mini-buses. Current variety of specialty vehicles include Police Vans, Ambulances (2 stretchers/4 stretchers), Dental Vans, WaterTankers, Fire Tenders, Dumper Placers, Bottle Carriers etc. On the basis of design features and performance, over the years, its buses, ambulances and specialty vehicles have acquired a distinct custorner image and preference. In the year 2005, based on its R&D efforts and guidance from Madza, 3 more wheel bases has been added of 2.8m, 3.9m and 4.7m.The GVW range has been raised to 9.8 Ton. Thus SML's current range of 5.8-9.8 Ton GVW has 6 distinct models with several variants. Also in the passenger segment, from the orginal 26 seater version, SML models is of 12-41 seat range. In 4 wheel drive vehicles, CNG vehicles and Airbrake versions,has also be developed through SML's own efforts. It has achieved Bharat Stage III compliance (equal to Euro III), raising in the process the power of the engine from 80 to 100 bhp. It was declared a sick company in 1994 and was handed out a BIFR package in financial rehabilitation in 1995. This programme addressed every aspect of marketing & servicing, quality of internal manufacturing and employee's productivity plus faster localisation and better buying. With this focus and improved market performance backed up by cost controls and support from the joint venture partners, the company was able to wipe off losses by March 1998, 4 years ahead of BIFR commitments. In line with Punjab Tractors' philosophy, SMLs focus too has been on providing quality products with distinctive features at reasonable prices. The effort has been to build and nurture relationship with the customers by rendering better than the best service. Its dealer outreach has grown to 135 (55 in 1986). In addition, it has 10 offices through out the country to support and monitor a net work of 130 dealers and 55 Service Centres. The company has absorbed Advanced Japanese Technology both through in-house activity as well as through vendors and its products are in the last stages of indigenisation. In the context of emerging demand momentum and company's growth plans, the company is in an advanced stage of firming up its capacity expansion programme. The stake of 23.49% in Pubjab Tractors Ltd which was held by PSIDC was entirely picked by CDC Financial Services(Mauritius) Ltd at a consideration of Rs.153 per share. As per SEBI guidelines CDCFS & CDC-PTL made an public offer to buy another 20% of SML paid up equity of 20.97,340 shares @ Rs.140 per share. This offer would be in exist from 18.09.2003 to 17.10.2003. During the year 2003-04, for the expansion of the annual capacity to 36000 vehicles the company has been setting up of manufacturing facilities for transmission gears and for manufacture of bus bodies, cargo boxes, in addition to tooling needs for localisation of sheet metal components and R&D resources for accelerating product development and meeting emission norms. The total estimated outlays for the project was Rs 160 crores .' During 2004-05, Mazda Motor Corporation sold to Sumitomo Corporation, Japan its entire holding in SML of 1,638,000 equity shares representing 15.62% of the equity capital of SML on 18 August, 2005, resulting to the sale, Sumitomo Corporation's equity holding in the Company rose to 41.03%. During 2006-07, maintaining acceleration thereafter, appropriate facilities etc. had installed. Trial production of ultra luxury buses on Isuzu chassis, fitted with rear engine, was kicked-off on 25th July, 2007. In 2007-08, the New a Bus Body Plant for manufacture of luxury buses with new design & technology was opened on 11th September, 2007. The Company started Expansion Project at Nawanshahar Plant in Punjab by setting up a second vehicle manufacturing facility and a new in-house bus body making plant. The first two products - the 41 seater air conditioned bus and the 12 seater executive coach were introduced in 2008. The Rights Issue for 39,84,946 shares approved by Shareholders was made in March 2010 at a premium of Rs 190 per share. In 2009, Sumitomo raised its stake in the Company to 53.5% by buying entire equity holding of Punjab Tractors Ltd. in the Company in January, 2009. In 2012, SML S7 Bus , Wheel Base -5100 mm , 50+1 Seater were launched; thereafter, ISUZU FR1318 Luxury Bus , Wheel Base - 5400 mm launched and SML HG72 Truck GVW 7200 Kg Truck and SML HD19 Truck GVW 10250 Kg Truck got launched. In April, 2012, Isuzu Motors Limited, Japan acquired from Sumitomo Corporation, Japan 1,591,881 equity shares of Rs 10 each thereby increasing their shareholding to 15% from existing 4%. Consequently, with its shareholding in the Company coming down to 43.96 %, Sumitomo Corporation, Japan has ceased to be the holding company of the Company. In 2013, the Company launched Xm -Series Trucks & Buses. In August, 2025, Mahindra & Mahindra Limited (M&M), acquired 63,62,306 equity shares constituting 43.96% of the equity share capital of the Company from Sumitomo Corporation and 21,70,747 equity shares constituting 15% of the equity stake of the Company from Isuzu Motors, collectively aggregating to 85,33,053 equity shares constituting 58.96% of the existing share capital of the Company. Accordingly, M&M has acquired sole control of the Company and became the Promoter of the Company w.e.f. 1st August, 2025.