NEW DELHI: China’s largest automaker SAIC Motor on Thursday inked a joint venture agreement with the JSW Group to accelerate the transformation and growth of MG Motor in India, which has been struggling to raise capital to fund future growth.

As per the shareholder agreement, share purchase and share subscription agreement signed in London, JSW Group will hold a 35 per cent stake in the Indian JV operations.

SAIC will continue supporting the joint venture with advanced technology and products to deliver mobility solutions with a focus on the Indian consumer. The two companies, however, did not specify if a new joint venture company would be floated or JSW would pick up the 35 per cent stake in MG Motor India, a wholly-owned subsidiary of SAIC Motor.

MG Motor is a British brand that is currently owned by Shanghai-headquartered SAIC Motor.

Earlier this year MG Motor India had announced plans to offer majority stakes to Indian local partners over the next 2-4 years as part of a five-year business roadmap in the country.

MG Motor India has been looking to raise capital to fund its next phase of growth.