Rakesh Malhotra, founder of the diversified SAR Group, said on Tuesday that the company is aiming for a high single-digit market share in the electric two-wheeler (e2W) segment by 2030.
The market size is projected to reach 6-8 million units annually by then.
“Our goal is to achieve a high single-digit market share by 2030 when the market will grow to 6-8 million vehicles annually. We are focusing on segments that align with our strengths, such as B2B use cases and vehicles serving both personal and commercial purposes,” Malhotra told TNIE during the launch of a new electric vehicle (EV) by the company.
In the short term, SAR Group aims to rank among the top seven players in the e2W market, eventually targeting the sixth spot.
At present, three legacy players - Hero MotoCorp, Bajaj Auto and TVS Motor - and two new-age companies - Ola Electric and Ather Energy - are leading the EV revolution in India. Honda 2Wheelers entered the electric 2W market last month.
Lectrix EV, the e-mobility arm of SAR Group, launched its electric scooter NDuro on Tuesday, with prices starting at Rs 59,999 (for Battery-as-a-Service) option. The company aims to sell 30,000 units in the first year.
To support its growth, Lectrix EV plans to expand its product lineup by introducing two new electric two-wheelers within the next 18 months. The company also aims to increase its dealership network from 200 to 500 over the next two years.
Malhotra revealed that SAR Group would invest in capacity expansion over the next 12-18 months and plans to raise funds from private equity or strategic investors within 8-10 months.
“We are in discussions, but whether it will be private equity or strategic investors is yet to be decided. SAR Group has previously raised capital successfully and delivered good returns to investors,” he added.
SAR Group, which owns brands like Livpure and Livguard, expects its EV business to become a significant contributor to overall revenues.
In FY24-25, SAR Group’s revenue is estimated at Rs 5,600 crore, with the EV business contributing Rs 300-350 crore, said Malhotra.
"Over the next 3-4 years, we expect the EV segment to grow rapidly, eventually accounting for 30-35% of our total turnover, which by then would be about Rs 10,000 crore,” he added.