JSW Group's Sajjan Jindal and China's SAIC Motor Corporation have finalised an agreement for an alliance involving MG Motor India. Morris Garages, is a fully-owned subsidiary of China-based SAIC.

Under the terms of the agreement, a private company-owned by Jindal will acquire a 32 to 35 percent stake in MG Motor India, while SAIC will hold 51 percent ownership. A domestic financial institution will own eight percent stake in the business of MG Motor India. MG India and its local employees will hold the remaining ownership. Jindal will also have the option to increase upto 51 percent.

Morris Garages, is a fully-owned subsidiary of China-based SAIC. It offers models such as the Comet and ZS electric vehicles, apart from the Astor, Hector, and Gloster.

The valuation of MG Motor India is estimated to be around USD 1.2-1.5 billion (Rs 9,800 - Rs 12,300 crore). MG Motor has a manufacturing facility in Halol, Gujarat with 1,20,000 unit capacity, with plans to expand capacity to 3,00,000 units by 2028.