homeauto News

Mahindra Electric scouts for a strategic investor to scale up operations

Mahindra Electric scouts for a strategic investor to scale up operations

Mahindra Electric scouts for a strategic investor to scale up operations
Profile image

By Parikshit Luthra  Jan 21, 2020 10:38:45 AM IST (Updated)

Mahindra and Mahindra’s electric vehicle arm, Mahindra Electric, is on the lookout for a strategic investor as it looks to grab a large chunk of India’s EV market.

Mahindra and Mahindra’s electric vehicle arm, Mahindra Electric, is on the lookout for a strategic investor as it looks to grab a large chunk of India’s EV market.

Recommended Articles

View All

Speaking exclusively to CNBC-TV18 on the sidelines of the Raisina Dialogue, the company’s CEO Mahesh Babu said, “Mahindra Electric is a separate entity under the Mahindra group. Right now Mahindra and Mahindra is the major investor in Mahindra Electric and will continue to be. However, we are open for a strategic partner or private equity investor to scale up operations.”
Babu refused to comment on the status of discussions with private equity investors but confirmed that Mahindra has a plan to raise a big investment for electric mobility.
Officials at Mahindra Electric have said the company today does not want to be just an electric vehicle manufacturer but a complete mobility solutions provider. The company is making Treo, the electric three-wheeler, battery packs and motors and has a mobility solution platform called Nemo.
Babu explained that as a next step the company is planning to share electric vehicle technology with Mahindra subsidiary SsangYong and is even looking at supplying EV technologies to companies outside the Mahindra group. The company is set to make an announcement on charging solutions and infrastructure at the upcoming auto expo. All these plans to scale up operations would need further investment, he said.
In the days to come, Mahindra Electric will be the technology partner for the entire Mahindra group when it comes to planning, launching new vehicles and maintaining electric vehicles during their life cycle.
Speaking about expectations from the budget, the CEO said the government should consider abolishing the customs duty on lithium-ion cells, which would reduce the cost of electric vehicles. He also hoped that the budget would promote investments to develop EV technologies and manufacturing in India.
Mahindra & Mahindra sold approximately 10,400 electric vehicles in FY 2019. “The Treo and our three-wheeler products are doing extremely well.  We are likely to end the year at three to four times more than last year’s sales volume,” he said.
CNBC-TV18 spoke to Mahesh Babu on the sidelines of the Raisina Dialogue on  January 16, before the company went into its silent period, ahead of the group announcing its earnings.
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!

Top Budget Opinions

    Most Read

    Market Movers

    View All
    Top GainersTop Losers
    CurrencyCommodities
    CompanyPriceChng%Chng