Mahindra & Mahindra‘s electric three-wheeler arm, Mahindra Last Mile Mobility Ltd (MLMML), has attained unicorn status after signing agreements to raise around ₹322 crore from global sustainable investment platform Lightrock and existing investors at a post-money valuation of ₹10,822 crore.
The funding round will see Lightrock invest alongside existing shareholders International Finance Corporation (IFC) and India-Japan Fund (IJF), both of which exercised their pre-emptive rights under the existing shareholders’ agreement. The investment will be completed in tranches, subject to regulatory approvals. Following the fundraise, Mahindra & Mahindra’s stake in the subsidiary will decline to 75.79% from 78.11%, although the company will retain management control and MLMML will continue to operate as its subsidiary. The investment comes as Mahindra steps up its electric commercial vehicle strategy.
The company said its last-mile mobility business has recorded a six-fold increase in electric three-wheeler sales over the past four years and continues to lead the L5 electric three-wheeler segment with around 40% market share.
“We welcome Lightrock as a partner, marking a pivotal milestone in our last-mile mobility initiative. With Lightrock joining alongside IFC and IJF, MLMML has now achieved unicorn status in the electric vehicle market. This investment brings us closer to our goal of deploying one million EVs on Indian roads by 2031,” said Anish Shah, Group CEO and Managing Director, Mahindra Group.
Rajesh Jejurikar, Executive Director and CEO (Auto and Farm Sector), said the investment underscores investor confidence in Mahindra’s leadership in electric commercial vehicles. “With around 40% market share in the L5 segment, it is at the forefront of a market that has rapidly scaled from 12% to 40% electrification in just two years. We are proud to be India’s No. 1 electric commercial vehicle manufacturer for the fourth consecutive year,” Jejurikar said.
MLMML also reported 85% year-on-year volume growth in the first quarter of FY27 and became the first electric commercial vehicle manufacturer in India to cross one lakh electric three-wheeler sales in FY26. According to the company, electrification in the L5 three-wheeler segment has increased from 12% to 40% over the past two years, making it one of the fastest-electrifying vehicle categories in the country.
The investment also adds another high-value business to the Mahindra Group’s portfolio of “Growth Gems” which are businesses being scaled independently while attracting strategic and financial investors to unlock value.