New Delhi: Mahindra and Mahindra The company is aiming to lead the sale of electric sport-utility vehicles (SUVs) in the country, its CEO said on Friday, a day after the automaker raised money for its new electric vehicle (EV) unit at a $9.1 billion valuation.
Mahindra & British International Investment (BII) said late Thursday that they will invest up to $250 million in each EV unit that will focus on four-wheel passenger electric cars.
The company sells some of the most popular combustion engine SUVs in India, including the Scorpio and Thar, and is now planning to dominate the EV segment with similar models.
Mahindra CEO Anish Shah said during a press briefing, “We are confident that we will lead in this area.”
“It is not just an investment. It is also the starting point. We will bring in more investors at higher valuations as we go forward,” he said.
Mahindra is the latest Indian automaker to tap the global green fund by turning its clean mobility business into a separate entity, taking a page from its rival. Tata MotorsPlaybook, which last year raised $1 billion from TPG’s Rise Climate Fund at a valuation of about $9.1 billion.
The move comes even as companies are trying to capitalize on a multi-billion dollar stimulus offered by Prime Minister Narendra Modi’s government to make EVs, as India seeks to meet its climate change and carbon reduction targets.
The EV market, dominated by Tata Motors, represents only 1% of the country’s annual sales of around 3 million vehicles. The government wants this to increase to 30% by 2030.
Mahindra expects electric models to account for between 20% and 30% of its total SUV sales by March 2027. Rajesh Jejurikar, executive director of Mahindra’s auto and agriculture sector, said at 30% it expects to sell around 200,000 electric SUVs.
Jejurikar said the company will share more details about its future product plans in August, but that it will unveil its first electric SUV in September, with sales expected to begin in the first quarter of 2023, and four by March 2026. and model.
Mahindra, which is building a ground-up EV platform called “Born Electric”, said in May that it was exploring a partnership with Germany’s Volkswagen AG to source EV components for its vehicles.
Shah told Reuters the same month that the company was exploring more such partnerships to boost its EV business.
Mahindra & British International Investment (BII) said late Thursday that they will invest up to $250 million in each EV unit that will focus on four-wheel passenger electric cars.
The company sells some of the most popular combustion engine SUVs in India, including the Scorpio and Thar, and is now planning to dominate the EV segment with similar models.
Mahindra CEO Anish Shah said during a press briefing, “We are confident that we will lead in this area.”
“It is not just an investment. It is also the starting point. We will bring in more investors at higher valuations as we go forward,” he said.
Mahindra is the latest Indian automaker to tap the global green fund by turning its clean mobility business into a separate entity, taking a page from its rival. Tata MotorsPlaybook, which last year raised $1 billion from TPG’s Rise Climate Fund at a valuation of about $9.1 billion.
The move comes even as companies are trying to capitalize on a multi-billion dollar stimulus offered by Prime Minister Narendra Modi’s government to make EVs, as India seeks to meet its climate change and carbon reduction targets.
The EV market, dominated by Tata Motors, represents only 1% of the country’s annual sales of around 3 million vehicles. The government wants this to increase to 30% by 2030.
Mahindra expects electric models to account for between 20% and 30% of its total SUV sales by March 2027. Rajesh Jejurikar, executive director of Mahindra’s auto and agriculture sector, said at 30% it expects to sell around 200,000 electric SUVs.
Jejurikar said the company will share more details about its future product plans in August, but that it will unveil its first electric SUV in September, with sales expected to begin in the first quarter of 2023, and four by March 2026. and model.
Mahindra, which is building a ground-up EV platform called “Born Electric”, said in May that it was exploring a partnership with Germany’s Volkswagen AG to source EV components for its vehicles.
Shah told Reuters the same month that the company was exploring more such partnerships to boost its EV business.