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Suzuki to merge Pakistan auto, motorcycle units

May 18, 2007
Filed under Features

Suzuki Motor Corp is merging its motorcycle and automobile subsidiaries in Pakistan. Depending on court approval and shareholders’ meetings for the two companies, the two are set to merge this fiscal year.

Pak Suzuki was established in 1982 as a joint venture with a Pakistani government institution. Suzuki currently has a 73 percent stake. It manufactures and sells 800cc vehicles based on the old Suzuki Alto.

Suzuki has a 43 percent stake in the motorcycle subsidiary, with Pakistan’s local automobile unit holding a 41 percent stake. In fiscal 2006, the company made 24,000 motorcycles.

Pak Suzuki has a 53 percent share of the Pakistani market.

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