Axis Bank, a leading private sector bank in India, has partnered with GuarantCo, a part of the Private Infrastructure Development Group (PIDG), to extend a significant INR 1 billion (approximately USD 12.1 million) loan over four years to Everest Fleet, India’s largest independent fleet management provider. The funds aim to facilitate the purchase of electric vehicles for deployment as green taxis in India.
This collaborative effort is part of the USD 200 million INR equivalent framework guarantee agreement signed by GuarantCo and Axis Bank in May 2022. The agreement enables the mobilization of funds between USD 300 and 400 million in INR equivalent, directed towards financing the e-mobility ecosystem in India.
Through this transaction, Axis Bank and GuarantCo are supporting Everest Fleet’s strategy to accelerate the adoption of electric vehicles, a segment currently constituting less than 1 percent of total vehicle sales in the country. GuarantCo has provided a two-thirds on-demand credit guarantee to Axis Bank for this transaction, following a previous INR 2.5 billion (approximately USD 30 million) loan to an impact-focused non-bank financial institution in the Indian e-mobility sector.
The initiative is expected to benefit at least 1,000 drivers, contributing directly to Sustainable Development Goals (SDGs) 11.2, 11.6, and 13, addressing safe, affordable, and sustainable transport systems, reducing environmental impact, and combating climate change, respectively.
Rajiv Anand, Deputy Managing Director of Axis Bank, emphasized the bank’s commitment to driving the e-mobility revolution in India. He stated, “Through this blended finance transaction, we have supported a service model and mobilized development capital, encouraging communities to adopt electric vehicles and catalyzing progress towards a greener, cleaner future.”
Siddharth Ladsariya, Founder and CEO at Everest Fleet, expressed gratitude for the instrumental support from GuarantCo and thanked Axis Bank for their commitment. He highlighted the transaction’s significance in fueling Everest Fleet’s growth and contributing to reducing emissions in India’s ride-hailing landscape.
Layth Al-Falaki, CEO at GuarantCo, conveyed delight in closing the transaction and emphasized its potential to transform the market. He affirmed GuarantCo’s commitment to furthering the e-mobility ecosystem in India, aligned with climate action aims and the PIDG 2030 strategy.
