Softbank looking to pick minority stake in Mahindra Electric
The electric vehicle division of the Indian auto major was formed in May 2010 after its parent company Mahindra took over Reva Electric.
Mahindra Electric, the electric vehicle division of the Indian auto major, is reportedly in preliminary talks with Japanese multinational conglomerate SoftBank for a strategic partnership. This may result in the Tokyo-based company pick a minority stake in Mahindra Electric, says a report in Business Standard.
SoftBank has invested in various startups around the world with its Vision Fund, which is a $100 billion venture capital fund
Mahindra Electric, based in Bengaluru, recently launched the eKUV 100 at the ongoing Auto Expo 2020. The vehicle has been priced at Rs 8.25 lakh (ex-showroom, Delhi) and is the most affordable electric vehicle in India.
The electric vehicle maker also showcased the eXUV 300 concept, which will be launched in the second half of 2021.
At Auto Expo 2020, Mahindra Electric also showcased the Funster concept, which previews the design language of the upcoming electric XUV 500.
According to data released by SIAM (Society of Indian Automobile Manufacturers), electric vehicles comprise just one percent of the total vehicles sold in India.
In a recent investor meet, Mahindra and Mahindra had announced that it is open to partnerships and investors for its electric vehicle division. At present, the company retails the e2o plus hatchback, e-Verito sedan, e-Supro van, and Treo three-wheeler. It sold 10,400 electric vehicles in the financial year 2018-19.
SoftBank has also invested in several transportation and logistics startups including Uber, the German Auto 1 Group, Grab Holdings, and GM Cruise Holdings, amongst others.
It has also invested $250 million in Ola, which spun off its electric mobility business into a separate entity – Ola Electric. The Bengaluru-based unicorn intends to place over one million electric vehicles on Indian roads by the year 2022.
(Edited by Saheli Sen Gupta)
