TVS eyes Rs 5,000 crore funding to strengthen EV subsidiary

TVS’ iQube y-o-y sales increased by over 5 times in April 2022 and with more offerings subsequent to the potential funding, the company plans to strengthen its position in  the EV market share.

2022 TVS iQube India Launch

TVS Motors’ talks with private equity (PE) firms have entered the advanced stages as the group plans to raise Rs 4,000-5,000 crore to fund the expansion of their electric-vehicle (EV) subsidiary. 

The two-wheeler firm plans to maximise its EV production owing to the surge in electrification of two-wheelers, majorly in the first-and-last-mile delivery space. 

EV sales in India have been rising swiftly as the two-wheeler customers and last-mile logistics firms are actively switching to green vehicles in their bid to nullify the dependence on fossil fuels amid rising fuel costs and to eliminate carbon emissions.

The Chennai-based company has created an extended electric mobility arm with over 600 engineers to scale up its EV offerings.

Talking to a leading publication, a spokesperson from the company said, “TVS, in the coming months, will focus on offering different products under its iQube brand (an e-scooter) to consumers so that they have access to the latest technology and connected commuting experience at an affordable price”.

The OEM launched the updated version of its iQube scooter last month, which is now available in three variants – iQube, iQube S, and the iQube ST. As per the company, the scooter will cost just Rs 3 per day for a customer in regular commuting in and around the city. 

TVS’ iQube y-o-y sales increased by over 5 times in April 2022 and with more offerings subsequent to the potential funding, the company plans to strengthen its position in  the EV market share.

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