Tube Investment India's wholly-owned subsidiary TI Clean Mobility (TICM) will raise Rs 3,000 crore by March 2024 to fuel its electric vehicle business, a release said on Saturday.
Of this, TII (Tube Investment India) has already invested Rs 639 crore, the company said in a statement.
TICM is focused on manufacturing and marketing of electric three-wheelers. It is also into the manufacturing and marketing of e-tractors an electric heavy commercial vehicles through its subsidiaries.
"TI Clean Mobility has signed definitive documents with TII, Multiples Private Equity Fund III, State Bank of India along with other co-investors to raise capital up to Rs 1,950 crore in the form of equity and compulsorily converted preferential shares (CCPS).
"The total investment by Multiples, SBI and other co-investors would aggregate up to Rs 1,200 crore," it said in the statement.
Investment by TII will be to the tune of Rs 750 crore, of which it has already invested Rs 639 crore by way of equity and ICD, it said.
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Further, TICP plans to raise additional funding of Rs 1,050 crore by the end of March 2024, which will take the total fund raise to Rs 3,000 crore, the company stated.
"TICMPL is focused on the productive segment of the EV -- three-wheelers, tractors and heavy commercial vehicles. The confidence reposed by such as Multiples and SBI will give the company the necessary impetus by scaling the operations through organic and inorganic means," said M A M Arunachalam, Chairman of TII and TICMPL.
TII aims to play a significant role in the electrification of vehicles in the productive segment to enable India's 30 per cent EV penetration target by 2030, said S Vellayan, executive vice chairman, TII.
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