There is no denying to the fact that Ssangyong Motors will provide the desired boost to the portfolio of the conglomerate M&M. The fact that the company is eying to bag close to 70% stake in the South Korean auto major testifies the importance of the ailing auto major to Mahindra.

It has been learned from the sources that the $450 million bid made by Ssangyong Motors is for more than a 51% stake in Ssangyong but the company may bid for over a 70% stake.

While the M&M officials have already announced that they would get a 'debt free' company which is crucial to their turnaround plans for Ssangyong, it may be noted here that the new ownership structure will have M&M as a majority shareholder in the company followed by the former owner SAIC, which now owns around 10%, Barclays Bank & Barclays Capital Securities has around 8% and the remainder is with public.

The company does not only plant to take the auto major only to markets where Ssangyong has its presence but also to markets like the US, where Mahindra is also eying an entry with its pick-up range of models.