Mahindra Company Seeking Strategic Alliances for EV
Homegrown car major Mahindra and Mahindra (M&M) are seeking strategic partners for their electric vehicles business to further scale it up as confirmed by a top official of the company. Pawan Goenka, Managing Director of Mahindra and Mahindra Company, has said the firm is finalizing investment plans for its Automobili Pininfarina project.
The automotive company, which posted a 94 percent decline in consolidated revenue at Rs 54.64 crore for the June quarter, also said that COVID-19 did not affect its EV project plans. The automaker aims to be a major player in mass-market electric vehicles ( EVs) and in the high-end segment by Europe-based Pininfarina, which is developing an electric hypercar Battista, Goenka added, through its subsidiary Mahindra Electric.
In a conference call, Goenka assured analysts that the automaker has spent substantial money in the market and this gives it the courage to pursue partners. To a question as to whether it was open to EV business partnerships, Goenka said they were open to it and working towards it. He further said that the company is engaged in investing in Mahindra Electric with several interested parties and the operation is going on.
Adding to the conversation he said, “We’ve invested in Bangalore, and we’ve just completed investing for a wide variety of batteries in Chakan. We are very well established and that gives us an edge in India that will fuel growth in the segment going forward. “He said the business has several goods on the market, and new releases are also scheduled for the next 12 months.
He said M&M is keen to become a big player in the EV room with Mahindra Electric on one hand and its Automobili Pininfarina (APF) arm focused in Italy, with its high-end models on the other. Goenka said M&M is also assessing the future expansion of the APF product portfolio. Due to the COVID-19 situation, the introduction of the first super sports car of the APF stable, Battista, which was due to happen this year, has now been pushed to next year.
Mahindra & Mahindra said in June that it was reviewing all of its companies and will continue to spend only on those where it sees a competitive advantage or can get an 18 percent return. Which has stated that the EVs are essential to the group ‘s growth, As part of this assessment, Mahindra has agreed not to continue the offer received by its North American unit to supply vehicles to the US. Group Chief
As Mahindra company seeking strategic alliances for EV, M&M has said its Korean branch SsangYong Motor Company (SYMC) is finding investors. On April 3 this year, the M&M board had agreed that the organization would not allow any more expenditure in SYMC other than USD 32 million to support the Korean firm gloss over the requirements of the immediate fund.
In addition to designing high-end EVs under the alliance with Automobili Pininfarina, Mahindra intended to introduce a couple of fully-electric cars for the Indian passenger market. These include the eKUV100 and the XUV300 EV which were both unveiled earlier this year at the AutoExpo 2020 edition. The eKUV100 was initially expected to be released later this year but considering the present condition with the global pandemic, the developers might very well delay the launch until next year.