Though late, Mahindra & Mahindra has finally forayed into the Electric Vehicle (EV) segment with the announcement of eXUV400 which will be revealed in September 2022.
It was announced by Rajesh Jejurikar, Executive Director – Auto & Farm Sectors, Mahindra & Mahindra said through a press release. “Mahindra has very exciting plans to be a leader in the electric SUV space. We would share our vision that includes our comprehensive product, technology, and platform strategy at the UK event on 15 August 2022, followed by a reveal of the electric XUV 400 in September 2022,” Jejurikar said.
Mahindra had also showcased concepts of the eXUV300 subcompact SUV and the eKUV100 hatchback in auto expo 2020, and were expected to launch the EVs in 2021, but pandemic related delays postponed their launch dates. These cars are expected to go on sale soon after too, and we will perhaps get more information on that front on August 15, 2022, in Mahindra's UK event.
The electric vehicles will be manufactured under its freshly formed subsidiary ‘EV Co’.
British International Investment (BII), the UK’s Development Finance Institution and impact investor and Mahindra & Mahindra (M&M) have executed a binding agreement to invest up to Rs. 1,925 crores each into a wholly owned subsidiary of M&M that will be newly incorporated (“EV Co.”).
BII will invest up to Rs 1,925 crores in the form of compulsory convertible instruments at a valuation of up to Rs. 70,070 crores, resulting in 2.75% to 4.76% ownership for BII in the EV Co. The EV Co. will focus on four-wheel (4W) passenger electric vehicles.
The total capital infusion for the EV Co. is envisaged to be approximately Rs. 8,000 crores / USD 1 billion between FY 24 and FY 27 for the planned product portfolio. M&M and BII will work jointly to bring other like-minded investors in the EV Co. to match the funding requirement in a phased manner.