Private equity company GEF Capital Partners reported investing more than 500 crore in e-mobility firms Electra EV and Hero Motors Ltd.
This is a step in the climate-focused investor’s plan to increase its stakes in India’s climate and sustainability potential. With this, GEF has invested eight times over the last four years.
Independent EV powertrain solutions provider Electra EV is supported by businessman Ratan Tata. Its products include integrated electronics, e-traction systems, battery packs, and end-to-end powertrain solutions. Its solutions are offered for two- and three-wheelers, four-wheelers, as well as EV applications for farm and off-highway use. The Xpres-T and Ace EV cars from Tata Motors utilise powertrain technologies from Electra.
The HMC (Hero Motors Company) Group’s flagship company, Hero Motors, specialises in EV-focused vehicle parts. To expand its selection of EV components, Hero Motors plans to invest Rs1,500 crore over the next three years. This fundraising effort is a part of that goal. It is India’s leading producer of e-bike parts. Out of the GEF’s almost $200 million South Asia Growth Fund II, both deals have been completed (SAGF II).
This is not GEF’s first investment in India’s e-mobility market. The company was among the first to invest in Chetan Maini’s electric automobile company, Reva.