MUMBAI: Bajaj Group on Monday listed two of its companies on the stock exchanges after it was demerged from Bajaj Holdings and Investments.
Group Chairman Rahul Bajaj listed two-wheeler maker Bajaj Auto on the Bombay Stock Exchange, while Group Vice- Chairman Madhur Bajaj listed Bajaj FinServ on the National Stock Exchange.
With the listing of these firms, the Pune-based Bajaj has completed the process of demerger that began on May 2007.
Bajaj Holdings and Investments has 30 per cent stake each in Bajaj Auto and Bajaj FinServ.
"2008 will be a challenging year for Bajaj Auto. We expect the domestic market for two-wheelers to be flat. We want the exports to grow and hope to cross 2.5 million vehicles in this financial year," Rahul Bajaj said.
Bajaj Auto would continue to launch new models in association with Kawasaki and KTM. It plans to raise its stake in KTM to 30 per cent from 25 per cent in due course of time, he said.
Bajaj said if the government allows higher FDI in insurance then its German partner Allianz has the call option to raise it from the present 26 per cent to 49 per cent in the insurance joint venture.
However, Bajaj said he doesn't see the FDI hike in insurance cap happening now. It would be taken up by the next government in the Centre, the Rajya Sabha MP said.
Bajaj was listed for the first time in 1966 when it went to the capital market to raise less than Rs 1 crore. Twelve years ago, it raised Rs 300 crore through a GDR.
