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Mahindra & Mahindra to invest Rs 12,000 crore in its EV unit

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Shillong, May 16: Automaker Mahindra & Mahindra, on Thursday, announced to invest Rs 12,000 crore in its electric vehicle (EV) unit over a period of three years.

In a stock exchange filing, the company said that it has approved an investment of Rs 12,000 crore in Mahindra Electric Automobile Limited (MEAL) to fund its EV journey over the next three years.

“M&M and its auto division expect to generate sufficient operating cash to satisfy all our capital investment needs and are not looking to raise additional capital,” said the company.

Further, M&M and British International Investments (BII) agreed to extend the timeframe for the final tranche of the latter’s planned investment of Rs 725 crore.

BII has invested Rs 1,200 crore to date while Singapore-based investment firm Temasek infused Rs 300 crore in MEAL.

“Temasek will be investing the balance Rs 900 crore as per the agreed timelines,” M&M said in the stock filing.

Mahindra Electric Automobile Limited was incorporated on October 25, 2022.

Total income of MEAL for the year ended March 31, 2024, was Rs 56.96 crore, while net worth of MEAL stood at Rs 3,207.14 crore.

“The revenue from operations of MEAL for FY24 was nil,” the company informed. (IANS)

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