As part of its drive towards electrification and new mobility services, Hinduja flagship Ashok Leyland (ALL) on Friday renamed its UK subsidiary Optare as Switch Mobility and announced plans to bring ALL’s entire EV initiatives under this entity. ALL’s strategy is to leverage the growth opportunities in the global LCV & bus EV market, which is projected to grow at a compounded annual growth rate of more than 25% and to be worth of $50 billion by 2030. To capture part of the market, the company is planning its EV initiatives through Switch that could include financial participation and strategic tie-ups.
Unveiling the new logo and name, ALL chairman Dheeraj Hinduja said: “Optare is adopting a new identity and logo as Switch, which signals our strategic ambitions in electric and green mobility. Towards this, Ashok Leyland is examining various options to bring the entire EV initiatives of Ashok Leyland under Switch Mobility Ltd.” Switch will build on the success of Optare in the UK, where it is a leading player in electric buses with more than 150 of them currently operating successfully in its home market. Optare, the forerunner of Switch, was recently named OEM of the Year (bus/commercial vehicle) at the prestigious 2020 EVIEs Awards. Following the successful delivery of 30 electric, double-decker buses to Metroline in London, the company is currently fulfilling orders for operators, including Tower Transit London and First York. This will create a foundation for the expansion of Switch’s operations in Europe and growth in India and other parts of the world.
Vipin Sondhi, MD & CEO of ALL, said: “With our proposed new structure, Switch will be positioned to become the potential global arm of Ashok Leyland, focused on electric vehicles and green mobility solutions. This proposed step will enable Ashok Leyland to focus on the development of new electric vehicle platforms through Switch, including next-generation buses, PODs and e-LCVs, and swiftly scale up the EV business.” The company had recently informed the stock exchanges that consequent to the conversion of loans by Hinduja Automotive (United Kingdom) into equity shares in Optare, its British bus-making subsidiary, ALL’s stake in Optare stands reduced from 99.24% to 91.63%.
Andrew C Palmer, chairman of Optare, said: “Optare plc has a well-deserved reputation for class-leading products and customer service. The re-organisation of the Optare group both allows us to continue to serve customers with the portfolio of products we have today, while positioning Switch Mobility at the forefront of the commercial EV space, which should benefit the entire organisation.”
