Mahindra & Mahindra, India's multinational car manufacturer, has signed a share subscription agreement to buy 11.25% stake in Gamaya SA, Switzerland, in the series B funding round for Rs 30 crore ($4.3 million). The farm equipment sector (FES) of the automaker has subscribed up to 300 common shares and 30,469 series B preferred shares of Gamaya. The stake in Gamaya, which works in the precision farming industry, is expected to support Mahindra's farm division by developing technology solutions.
The all-in-cash transaction is to be completed by June 28, 2019. The Switzerland-based agri-tech company, Gamaya SA ("Gamaya"), that focuses on imagery analysis for monitoring the health of crops, has a turnover of about Rs 3.5 crore (0.5 million in Swiss Franc CHF) as per 2018 figures.
As per the filing, the technology solutions provider for agricultural sector primarily operates in Brazil, India, Switzerland and Ukraine. "Gamaya has advanced capabilities in Hyperspectral Imagery Analytics, Artificial Intelligence and machine learning which captures and interprets images to give farmers information about the state of their fields and crops," the filing added. Shares of M&M ended at Rs 635 on the BSE, down by 5.35 points or 0.83 per cent.
(Edited By Rupa Burman Roy)