NEW DELHI, April 4 -- The Volkswagen Group on Wednesday announced its intent to merge its three Indian subsidiaries, Volkswagen India Pvt. Ltd (VWIPL), Volkswagen Group Sales India Pvt. Ltd (NSC), and Skoda Auto India Pvt. Ltd (SAIPL). The merger has been approved by the respective boards of the three subsidiaries in India and is now subject to regulatory and statutory approvals, the company said.

The restructuring of Volkswagen Group companies in India is being seen as an important step towards its India 2.0 project, wherein Skoda India will lead in terms of product development and engineering. The sales and marketing operations will remain the same.

The proposed merger of the three group companies will help capitalize on existing synerg...