According to a spokesperson, Mahindra Group with British International Investment has committed $500 million in capital for the electric sport utility vehicle segment.
British International Investment (BII), an impact investor, announced a USD 250 million investment in the company’s electric vehicle segment.
According to an agreement between the partners, the new EV company will receive a capital infusion of approximately $1 billion between FY24- FY27 for the planned product portfolio.
“BII and the Mahindra group have committed $500 m for the electric SUV space. We will work jointly with BII to bring other like-minded climate-focused investors in the EV Co which will help in further strengthening the business,” a Mahindra spokesperson said.
The company revealed its first electric SUV, the XUV 400, earlier this month and plans to launch it early next year.
The Indian auto giant announced last month that five electric SUVs would be launched for domestic and international markets at an event in the UK.
According to the automaker, the five electric SUV models will be offered under two brands: XUV and the brand new electric-only BE.
Legacy brands will be under the XUV brand, while the new electric model will fall under the BE lineage.
The company does not currently have an electric passenger presence. However, it is the market leader in domestic electric three-wheeler sales with a greater than 70% share.
The Mumbai-based automaker anticipates that 25% of its SUVs will be electric by 2027.