Epic Research Update : Maruti Suzuki

Suzuki’s Gujarat arm to not make losses or cash surpluses

Cost of production to be calculated in same way as Haryana unit

Cost of production not to include return on investment and profit

Capex needs to be met by depreciation amount at arm

Capex needs to be met by amount got via net surplus from pricing

Capex needs to be met by Suzuki infusing fresh equity

Capex needs to be determined by Maruti and arm

Arm assets to be transferred to Maruti if manufacturing agreement expires

Assets to be transferred if agreement not extended via consent

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Posted in: Indian Market Tips