STUTTGART, Germany -- Daimler has sold all of its 5.34 percent of the ordinary shares of Indian automotive company Tata Motors to various groups of investors through the capital market. Tata Motors' share price has risen significantly, especially last year, so Daimler will receive a substantial cash inflow of approximately euro 300 million (about $408 million) from the sale of its shares. The transaction will have a positive effect on Daimler's EBIT of approximately euro 265 million (about $360 million) and will be accounted for in the first quarter of 2010.

In announcing the sale of its stake in Tata, Daimler said it is today in an excellent position to capitalize on the growth potential of the Indian passenger and commercial vehicle markets and continues to intensify its own activities there.

In February 2009, Daimler opened a new plant in Pune for Mercedes-Benz E-Class and S-Class models. Meanwhile, the brand is represented with showrooms and service centers in 25 cities. The brand started successfully into 2010 in India: In the first two months, Mercedes-Benz almost doubled its sales to a total of 800 vehicles. Additional positive impetus is expected this year from the launch of the new E-Class. In 2010, Mercedes-Benz intends to gain market share and to grow at a double-digit rate. A total of more than 3,200 Mercedes-Benz cars were delivered to customers in India last year.

In addition, Daimler India Commercial Vehicles Ltd. (DICV) took over the marketing of Fuso-branded commercial vehicles in India at the beginning of 2010. The first Fuso vehicle was sold to an Indian customer in January 2010. For Daimler Trucks, India is not only a fast-growing market, but also the key to a completely new generation of products, says the automaker. In 2009, Daimler Trucks founded its own production company, Daimler India Commercial Vehicles Ltd. (DICV), which is building a new plant in Chennai in the southeast of India. Starting in 2012, the new plant will initially produce light, medium and heavy-duty commercial vehicles for the Indian volume market under a new brand name. The production of trucks for export to other emerging markets will follow at a later date.

In addition to its car and commercial vehicle activities, Daimler also established its biggest research and development center outside Germany in Bangalore in 1996.