Mumbai, Oct 1 (IANS): Automobile majors Mahindra & Mahindra and Ford Motor Company

will create a joint venture (JV) firm, valued at $275 million, that will develop, market and distribute the US-based auto maker's products in India.

The majority stake of the JV will be held by M&M at 51 per cent, while the balance will be owned by Ford.

Besides, the JV company will develop, market and distribute Ford and Mahindra brand of vehicles in high-growth emerging markets around the world.

The deal envisages Ford to transfer its India operations to the joint venture, including its personnel and assembly plants in Chennai and Sanand.

However, Ford will retain the engine plant operations in Sanand as well as the Global Business Services unit, Ford Credit and Ford Smart Mobility.

The joint venture is being touted as the next step in the strategic alliance forged between Ford and Mahindra in September 2017 and is expected to be operational by mid-2020, subject to regulatory approvals.

It will be operationally managed by Mahindra, and its governance will be equally composed of representatives of Mahindra and Ford.