Mumbai-based automotive major Mahindra and Mahindra (M&M) has unveiled the line of sports utility vehicles (SUV) and pick up trucks that it plans to start selling in the United States starting from 2009.

Mahindra aims to sell in excess of 50,000 units combined annually in that country. Pawan Goenka, President (Automotive sector), said, "We are optimistic of selling over 50,000 units in the US as our products will be available in the range of $22,000 to $30,000 only".

"The consumers are really looking for something like this, particularly with the prices at the pump," William Goetze, president of Global Vehicles, told reporters at a gathering at an Atlanta airport hotel to display the Mahindra line. The vehicles which were kept on display were 2-door single-cab, 4-door truck and 5-door SUV.

All the vehicles will feature common rail diesel engines, six-speed automatic transmissions with two- or four-wheel drive depending on the model, and four- year, 60,000-mile bumper-to-bumper warranties. Each of the vehicles will have a mileage of between 28 and 35 miles a gallon, officials said.

Model names for the trucks are yet to be determined, but the SUV will be sold under the model name Scorpio.

Meanwhile, the company in its board meeting held today decided to raise Rs 1,350 crore by issuing foreign currency convertible bonds (FCCBs) and shares via qualified institutional placements (QIPs).

According to the company release issued to the BSE, the board approved a proposal to raise up to $300 million (with a right to retain an additional 15 per cent subscription) through issuance depositary receipts, and/or FCCBs.

The funds are being raised to make substantial investments in research and development, new product development, balancing equipment, capacity expansion, absorption of new technology, among others to sustain growth and maintain leadership in all the addressable businesses of the company. Similarly, significant investments are expected to be made for JV, acquisitions.