Business Times reports that Mahindra & Mahindra is in talks with Proton for a possible manufacturing and marketing alliance which may involve a strategic stake transfer.

Rumours are that Proton would assemble the Mahindra Scorpio and the Mahindra Bolero for the Malaysian market. There are also options open for a joint venture between Mahindra and Proton like India’s Mahindra Renault, which assembles and markets Renault’s Logan passanger car, which is sort of like Renault’s Proton Iswara.

Is this the strategic partner that’s to be announced by the end of month or is this a new development? The Business Times source did not quote any official statement from either of Proton or Mahindra, and Mahindra officials refused to comment on the development upon contact so this might just be a rumour.