NEW DELHI: Mahindra & Mahindra’s (M&M) investment of Rs 10,000 crore for electric vehicles (EVs) manufacturing has been approved under the Maharashtra government’s industrial promotion scheme for EVs. The Mumbai-based company via its subsidiary will make investments of nearly Rs 10,000 crore over a period of seven-eight years for setting up the manufacturing facility, development and production of Mahindra’s upcoming Born Electric Vehicles (BEVs).
The auto major was in talks with multiple states to set up its EV plant as it aims to have at least 30% of its total sales come from battery-powered vehicles by 2027. Rajesh Jejurikar, Executive Director, Auto & Farm Sectors, M&M, said, “We are delighted with this approval from the Govt. of Maharashtra for setting up our EV Manufacturing Plant in Pune, and investing in what has been our ‘home’ state for over 70 years.”
M&M, which had unveiled 5 e-SUVs on August 15, trails much behind Tata Motors in the EV space despite being an early entrant. It is now looking to make a strong comeback with XUV400, an electric SUV, which is likely to go on sale in January 2023 and a slew of EVs under its XUV.e and BE (born electric) range that will hit the market from 2024 onwards.
Like Tata Motors, M&M is also raising funds from top investment firms to realize its EV goals. In July, the automaker had raised `1,925 crore from British International Investment (BII) for a new four-wheel passenger EV company. It is also reported that M&M is in talk with other investment firms to raise up to $500 million for manufacturing EVs. Tata Motors, which at present has 85-90% market share in the electric car space, had last year raised Rs 7500 crore from US-based Private equity investor TPG Capital in its new EV subsidiary.