Mumbai, Aug 20 (IANS): Mahindra and Mahindra Financial Services (Mahindra Finance) on Tuesday said that it has signed a joint venture with Ideal Finance, a subsidiary of Sri Lankan conglomerate Ideal Group and it will acquire 58 per cent stake in Ideal Finance.

Mahindra Finance in a statement said that it would invest Sri Lankan Rupees 2 billion (around Rs 80 crore) till March 2021 to acquire the stake.

"Mahindra Finance has entered into a joint venture with Ideal Finance, a fully owned subsidiary of the leading Sri Lankan conglomerate, Ideal Group. Mahindra Finance will invest LKR 2 billion until March 2021 for up to 58.2 per cent stake in Ideal Finance," the statement said.

It further said that the joint venture would capitalise on Mahindra Finance's expertise in the financial services domain and Ideal Finance's domestic market knowledge to build a leading financial services business in Sri Lanka.

According to Mahindra Finance, the company has over 62 lakh customers in over 3.7 lakh villages in India, and its assets under management (AUM) is recorded at over $10 billion.