TURIN – Sports car maker Enzo Ferrari's son will buy a stake in Pininfarina, the Italian contract manufacturer and design consultant said Tuesday.

Piero Ferrari, Ferrari vice chairman, will take part in a 100 million euro capital increase to be completed by mid-year. Others who will participate in the recapitalization are Alberto Bombassei, chairman of braking systems maker Brembo, and the Marsiaj family, founders of Italian seatbelt maker Sabelt.

The capital increase was approved by Pininfarina's annual meeting Monday. It will help finance a restructuring plan that aims to revive the struggling company.

The Pininfarina family will lose majority control of the company. Its current stake of 55 percent will be diluted to slightly more than 30 percent after the recapitalization.

Pininfarina's new industrial partners include French industrial, transportation and media group Bollore and Tata of India.

Pininfarina and the Bollore group are creating a joint venture to sell an upscale electric minicar in Europe, Japan and the US.

Pininfarina will build the electric car in Italy with the first 2,000 units to hit the market in 2010. Full capacity of 15,000 units is expected to be reached by 2012.

Last week, Pininfarina and Tata Motors signed a letter of intent to establish a research, design and engineering center in Pune, India, next year.

Pininfarina will be the majority shareholder with management responsibility. Tata will support the center with contracts.

No decision has been made yet on the size of the shareholdings each of the new Pininfarina owners will control. The Pininfarina board will decide on the terms of the capital increase in the next few months.

You may e-mail Luca Ciferri at lciferri@craincom.de