Indian automaker Mahindra in talks to raise up to $1.3bn for EV unit

 

Indian automaker Mahindra and Mahindra is reportedly in advanced discussions with global investors to raise between $1 billion and $1.3 billion for its electric vehicle (EV) unit. The funds will be raised by selling shares in its EV unit, which is currently valued at over $9.1 billion. Mahindra plans to raise capital in multiple tranches over the next two fiscal years. The company may raise as much as $800 million to $1 billion in the first tranche as early as the first half of financial year 2024. Mahindra has increased investments in its EV capacity as the Indian government aims to increase the share of EVs to 30% of total annual car sales by 2030 from 1% currently. In December, the company unveiled plans to invest $1.21 billion to set up an EV manufacturing plant near Pune, taking on rival Tata Motors, which dominates India's EV market. Tata Motors is also reportedly in talks with sovereign wealth funds and private equity investors to raise up to $1 billion via a stake sale in its EV business.