For inquiries on this matter, please contact
- Mitsui & Co., Ltd.
Corporate Communications Division
Mitsui & Co., Ltd. (Headquarters: Chiyoda-Ku, Tokyo, Japan ; President & CEO: Shoei Utsuda; hereinafter referred to as 'Mitsui'), Yamaha Motor Co., Ltd. (Headquarters: Iwata-shi, Shizuoka-ken, Japan ; President, Chief Executive Officer and Representative Director, Takashi Kajikawa; hereinafter referred to as 'Yamaha Motor') and, in cooperation with Axis Bank, Ltd. (Headquarters : Mumbai, India ; Chairman & CEO: Dr. P. J. Nayak ; hereinafter referred to as 'Axis') established operating company Bussan Auto Finance India Pvt. Ltd. (hereinafter referred to as 'BAF India') in April 2007 to carry out retail and inventory finance for motorcycles in India. A certificate of Registration to commence and carry on the business has been granted by the controlling authority, the Reserve Bank of India, and the company will begin business immediately.
BAF India will establish its first branch in Delhi and begin providing retail finance to customers in the Delhi area. The company plans to provide services through an expanding network of branches in the major cities in India by 2009. Moreover, preparations are currently underway so that short-term finance may be provided to Yamaha Motor dealers throughout India with the aim of responding to stock fund demand.
Total demand of motorcycles, one of India's main forms of transport, exceeded 7 million in 2007, making India the second largest market in the world. Total demand is expected to go above 9 million by 2010. Moreover, approximately half of the consumers purchasing motorcycles make use of local bank or nonbank retail finance, and this is said to be one of the factors of growth in motorcycle sales. Yamaha Motor regards restructuring its Indian business as a key management priority and sees the strengthening of the retail finance function to be necessary in improving the service provided to customers. Yamaha Motor has therefore investigated the launch of a finance business in cooperation with Mitsui. Mitsui, since its establishment of PT Bussan Auto Finance in Indonesia in 1997 with the aim of providing retail finance for Yamaha motorcycles, has steadily accumulated know-how in this field. The three companies have decided to launch the retail finance business after carrying out Indian market surveys. As we announced on March 5, 2008, Mitsui & Co. has decided to invest in India Yamaha Motor Private Limited, a new motorcycle manufacturing company established by Yamaha Motor. Mitsui and Yamaha Motor will work together to expand Yamaha's motorcycle business in India by achieving a synergistic effect from their manufacturing, marketing and financial resources.
|(1) Company name||Bussan Auto Finance India Pvt. Ltd.|
|(2) Representative||Chairman & President: Shigeo Enomoto|
|(3) Location||New Delhi, India|
|(4) Established||April 23, 2007|
|(5) Capital||500 million rupees (approx. 1.5 billion yen)|
|(6) Investment ratio||Bussan Automotive Singapore Pte. Ltd. 64%,
Axis Bank Ltd. 26%,
Yamaha Motor Asia Pte., Ltd. 10%
* Both Yamaha Motor and Mitsui have invested through Singapore-based wholly-owned subsidiaries.
|(7) Number of employees||Approx. 20|
|(1) Company name||Axis Bank Limited|
|(2) Representative||Chairman & CEO: Dr. P. J. Nayak|
|(3) Location||Mumbai, India|
|(4) Established||December 1993|
|(5) Capital||3.6billion rupees|
|(6) Number of employees||Approx 13,850|
|(7) Number of branches||642 branches + Extension counters|
|(8) Number of retail customers||Approx 7.5 million live customers|
|(9) Main business||Banking and Financial Services|
This press release contains details about future developments. Please be aware that such details involve risks and uncertainties and that there is the possibility that the actual situation will differ as a result of changes in the management environment. This press release was not created with the aim of soliciting investment or performing the equivalent of such actions, either within or outside Japan.