Ashok Leyland, the leading Indian vehicle manufacturer under the Hinduja Group, has announced a significant move in the electric mobility sector. The company’s Board of Directors has given the green light for the acquisition of 100% ownership in Ohm Global Mobility Private Ltd (OHM) from OHM International Mobility Ltd for a nominal sum of Rs 1 lakh.
As part of this acquisition, OHM will transition to become a wholly-owned subsidiary of Ashok Leyland. To operationalize OHM and boost its capabilities in the electric mobility domain, Ashok Leyland has also revealed plans to invest up to INR 300 crore as equity into the company. Furthermore, existing Electric Mobility as a Service (E-MaaS) contracts will be smoothly transferred to OHM, contingent on obtaining the necessary regulatory approvals.
Ashok Leyland has committed to providing any requisite guarantees or comfort letters to secure future orders for OHM, pending the required regulatory authorizations.
Dheeraj G. Hinduja, Executive Chairman of Ashok Leyland, emphasized the increasing significance of Electric Mobility as a Service in India, highlighting the opportune moment to operationalize OHM India.
“E-MaaS is emerging as a crucial strategy for both the public and private sectors to accelerate the adoption of electric vehicles (EVs). The government’s efforts to enhance EV adoption through strengthened payment mechanisms align perfectly with OHM’s objectives. We are optimistic about OHM’s prospects and its contribution to the EV landscape,” he stated.
Shenu Agarwal, Managing Director & CEO of Ashok Leyland, noted that E-MaaS has become a pivotal aspect of the Indian commercial electric vehicle market. He explained that a substantial portion of the EV bus market, particularly State Transport Undertaking Orders, operates within the E-MaaS framework. To efficiently manage this segment, the decision to establish a separate company like OHM was a strategic one. Ashok Leyland’s subsidiary, Switch India, will supply OHM with EV buses and light commercial vehicles for deployment under E-MaaS contracts.
Agarwal added, “OHM will occupy a significant position in Ashok Leyland’s expanding EV portfolio.”
This move underscores Ashok Leyland’s commitment to driving innovation and growth in the electric mobility sector in India and aligns with the country’s increasing focus on sustainable and eco-friendly transportation solutions.
