Ford, Mahindra partner on small electric vehicle, some SUVs

MarketsAssociated Press

Ford and Mahindra Group are teaming up to develop a small electric vehicle and some new SUVs.

The companies, which partnered with each other in September, said Thursday that they've signed five new memoranda of understanding that will speed up the development of key products for consumers in India and emerging markets.

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The companies plan to co-develop a midsize SUV that'll be sold independently by both businesses as separate brands. They also agreed to evaluate co-development of a compact SUV and electric vehicle.

Teams from both companies will continue to work together for up to three years to develop further ways to cooperate.

Shares of Ford Motor Co., based in Dearborn, Michigan, fell 2 percent to $10.88 in midday trading.