Mahindra's offer for Pininfarina rejected by creditors

Reuters Updated - January 24, 2018 at 03:15 AM.

An offer by Indian vehicle maker Mahindra & Mahindra to take over Pininfarina has fallen through due to opposition from some of the Italian car designer's creditor banks, newspaper Il Messaggero said on Saturday.

Expectations of a sale have recently fuelled gains in the shares of the loss-making Pininfarina group, famous for designing Ferraris and other luxury cars.

But three or four banks have rejected Mahindra's offer because it envisaged writing off half of Pininfarina's debts of 87 million euros ($97 million), the newspaper said.

Pininfarina declined to comment. It was not immediately possible to contact Mahindra.

Pininfarina will now seek to agree a new debt restructuring, Il Messaggero said.

($1 = 0.8957 euros)

Published on June 27, 2015 16:15