JSW Group and Volkswagen Group have reportedly signed a non-binding memorandum of understanding for a proposed 51:49 alliance in India passenger vehicle operations.
The Economic Times (ET), citing unnamed sources, said the agreement begins exclusive negotiations on valuation and other terms.
The two sides are targeting a final binding agreement by the end of 2026.
The proposed alliance would sit in a new entity involving JSW and Skoda Auto Volkswagen India Pvt Ltd (SAVWIPL), separate from JSW's current ventures, including its partnership with SAIC Motor.
A SAVWIPL spokesperson confirmed the development to the ET.