Mahindra & Mahindra (M&M), a passenger, commercial and utility vehicles maker, on Wednesday said it has signed a share purchase agreement to buy additional 34,249 equity shares of MITRA Agro Equipments Pvt Ltd, an associate of the company, from its existing shareholders.

The company currently holds 26 percent of the equity share capital of Mitra, and after the completion of the above transaction, it will hold around 39 percent of the equity share capital of Mitra on a fully diluted basis, Mahindra & Mahindra said in a filing to the BSE.

The purchase of additional equity shares in MITRA Agro Equipments Pvt Ltd would support the company's farm equipment business in the horticulture sector, it added.

Shares of the company declined Rs 28.65, or 6.33%, to settle  at  Rs 423.90.  The total volume of shares traded  was  252,297 at  the BSE (Thursday).