Shares of JBM Auto hit a new high of Rs 1,548.35, as they surged 18 per cent on the BSE in Friday’s intra-day trade after the company won orders for 5,000 electric buses from the State Transport Undertakings (STUs).
“JBM Auto Limited and its Subsidiaries have won orders for approx. 5,000 electric buses for supplying to various STUs in the states of Gujarat, Haryana, Delhi, Telangana, Orissa among others and multiple Fortune 500 companies coupled with leading corporates of the country,” the company said in an exchange filing.
Different applications such as city bus, staff bus, tarmac coach, etc. in both, 9 meters and 12 meters categories will be delivered for these orders, it added.
With a healthy order book in place, JBM Auto said the company is well poised to further consolidate its position as an end to end electric-mobility solution provider with indigenously developed vehicle technology, battery technology and charging solutions.
The company is ready to serve the emerging market requirements in the electric-mobility domain, thereby, gaining new market access and expanding market share, it added.
The company is engaged in the automotive business that manufactures and sells sheet metal components, tools, dies & moulds and buses including sale of spare parts, accessories & maintenance contract of buses. The company is also an Original Equipment Manufacturer (OEM) as it is engaged in the production of Passenger Buses.
The electric vehicle (EV) push in India opens a plethora of business opportunities across three key segments – mobility, infrastructure and energy. These include opportunities in EV franchising, EV OEM market, battery infrastructure, solar vehicle charging and battery swapping technology among several others.
The Indian EV Industry is slowly gathering momentum, supported by government initiatives and rise in crude oil prices, as people look for alternative sources to reduce their monthly bills. However, a mass shift from internal combustion engine (ICE) vehicles to EVs requires expansion of infrastructure facilities, including charging stations, and vehicles that could provide a higher range (KM range with a single charge).
Several initiatives taken by the government to support the manufacturing and adoption of electric vehicles in the country should help in achieving the target of EV adoption by 2030. According to India Brand Equity Foundation (IBEF), a cumulative investment of Rs. 12.5 trillion (USD 180 billion) in vehicle production and charging infrastructure would be required until 2030 to meet India’s EV ambitions.