Mahindra & Mahindra Limited said it was signing a Memorandum of Understanding with the government of Tamil Nadu to invest Rs 2,000 crore in the state.
The investment will cover a new automotive plant as well as a new Test track for Mahindra Research Valley.
“The Company could also increase the investment to Rs.4,000 crores by 2022 for which it can decide over the next few years,” it said.
While the MRV is located at Mahindra World City, Maraimalai Nagar near Chennai, the MRV test track and the new p]ant would be set up on about 450 acres of land at Cheyyar near Kancheepuram, the company said.
The Tamil Nadu government will be giving the company unspecified incentives that form part of the MoU.