Dubai: Saudi Arabia's Abdul Latif Jameel will invest $220 million in the Indian EV manufacturer, Greaves Electric Mobility. The latter is one of the biggest names in India’s two- and three-wheeler space.
The Saudi investor will initially channel $150 million for a 35.8 per cent stake, thus making it the second-largest shareholder in Greaves Electric Mobility, which will use the funds on 'new products, associated technologies, brand building and enhance manufacturing capacity'. It vehicles are branded as 'Ampere', while the three-wheeler ones (e-auto and e-rickshaw) are branded as 'Ele' and 'Teja'.
“India is currently the world’s fourth-largest automotive market where the share of EVs in the two-wheeler and three-wheeler segments are expected to increase significantly,” said a statement. “These segments are less dependent on commercial charging infrastructure, unlike passenger cars.”
Greaves Electric Mobility is a subsidiary of the engineering group - Greaves Cotton ltd. – and sold 62,000 vehicles last financial year (2021-22), which is a 128 per cent increase on the year before. As for Abdul Latif Jameel, the investment forms part of its strategy to widen interests in businesses driving ‘global sustainable mobility’. The group, which was set up in the 1940s, is one of the bigger family-owned enterprises in the Gulf, with interests spanning multiple sectors.
'Mobility of the future'
According to Hassan Jameel, Deputy President and Vice-Chairman of Abdul Latif Jameel, “We are proud to be investing in Greaves Electric Mobility at such a critical time for India’s EV market. Together, we are embarking on a long-term journey to deliver cleaner, more sustainable – and crucially affordable – transport options to India’s population, and beyond.
“This agreement aligns with our strategic priority of investing in mobility of the future, in addition to showcasing our joint commitment to making Greaves Electric Mobility competitive and its EV products available to communities in India and potentially other markets in the Global South.”
Saudi Arabia has been making gradual headway in the EV territory, with a notable win being the decision by Lucid Motors of the US to set up production facilities in the Kingdom. Abdul Latif Jameel, for its part, was one of the early major investors in US EV manufacturer Rivian and flying taxi startup Joby Aviation.
We have emerged as one of India’s fast growing EV brands. With this investment, we will continue to deliver tangible value to our customers and shareholders alike.