CHENNAI: Mahindra & Mahindra (M&M) appears to have finally zeroed in on Tamil Nadu to set up a three-way joint venture car plant with Nissan Motor Co. of Japan and Renault SA. of France.

Top executives from M&M are likely to arrive in Chennai on Monday to hold talks with the officials of the State Government to firm up the finer details of the car project.

Highly placed sources, who are closely involved in the co-ordination work, told The Hindu that the M&M top brass was also likely to meet with the State Chief Minister on that day.

Informed sources said M&M would be the lead partner in the joint venture. Official sources, however, were tight-lipped on the venture.

When Ford India set up its car facility at Maraimalainagar near here some years ago, it came in with M&M as its partner. Both have since come out of their crossholdings in each other. Chennai has seen Hyundai of South Korea and Ford of the U.S. set up production facilities in its vicinity. BMW of Germany is readying to roll out its first batch of cars from its upcoming assembly line near Maraimalainagar. The entry of M&M, industry sources say, will further give a fillip to the growth of the auto components industry in this region.

The Mahindras have a big presence in the State. Mahindra City, the country's first private sector industrial park at Maraimalai Nagar, had so far sold land to various industrial houses for setting up their units. Companies such as Infosys, Mastek, Ascendas, TTK Biotech and Kryome have taken space in the park.

It has already acquired high visibility through its infrastructure park - the Mahindra City. Sources said the car project would help the Mahindras further beef up their presence in Tamil Nadu.

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