Hyundai Motor Co of South Korea announced on Aug 16 that its Indian unit will purchase General Motors' Talegaon plant in the Indian state of Maharashtra.

It said that Hyundai aims to achieve a cumulative production capacity of one million units per year through its Sriperumbudur facility outside Chennai and now the Talegaon plant. Last year, the company sold 552,511 vehicles in India.

Hyundai, India's second-largest carmaker by sales, did not specify the value of the transaction.

The agreement allows the American automaker to withdraw from India. GM stopped selling cars in the country in 2017 after years of declining sales, but its complete exit from the market has been marred by complications, including legal squabbles with workers and the inability to find a buyer for the plant.

GM agreed to sell the plant to China's Great Wall Motor in 2019, but talks fell through last year after the companies failed to obtain regulatory approvals amid New Delhi's increased scrutiny of Beijing investments.