Mahindra & Mahindra (M&M), the Indian leader in utility vehicles with a growing global presence, is planning to consolidate its stake in Swaraj Engines by buying out Kirloskar Oil Engines' stake in the latter.

At present, Kirloskar Oil Engines (KOE) holds a 17% stake in the Swaraj Engines. The latest move is considered as a part of company’s plan to expand its diesel engine business.

It should be recalled that earlier in 2007, Mahindra & Mahindra had bought a 33.2% stake in Swaraj Engines and a 14% stake in Swaraj Mazda through its acquisition of Punjab Tractors.

Mohali-based Swaraj Engines Limited engages in the manufacture and sale of diesel engines in India. The company supplies 5 types of engines from 20HP range to 50HP range. Apart from this, it also offers various diesel engine components and spare parts.

Ahead of latest development, the scrip of the company closed on Friday with gain of 10 percent at Rs 341. The counter has made 52-week-high and low of Rs 355 and Rs 78 respectively.