Mahindra & Mahindra group chairman Anand Mahindra has lauded India’s policy landscape that helped a subsidiary of the conglomerate land a ₹600 crore investment from the International Finance Corporation (IFC).
What Happened? Global development institution IFC, a member of the World Bank Group, has stated that it invested in Mahindra and Mahindra's wholly-owned subsidiary, named NewCo — a newly incorporated last mile mobility company.
Anand Mahindra tweeted about the development saying, “This is not just about us. When a credible global investor makes such a decision, then it's a testament to India's progress in ‘last-mile' electrification.”
The investment, which values NewCo at ₹6,020 crore, comes as IFC aims to scale up affordable electric three-wheelers and small commercial vehicles.
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Mahindra & Mahindra is also separately engaged in advanced talks with global investors to raise $1-1.3 billion (₹8,268.68 – 10,747.65 crore) by selling shares in its electric vehicles (EV) unit.
The company is looking to improve EV capacity as the Indian government aims to increase the share of EVs to 30% of total annual car sales by 2030 from 1% currently.
Per a Reuters report from August 2022, India has committed to reducing its emissions profile by 45% by 2030, and simultaneously aims to achieve 80% EV penetration for two-and three-wheelers, 70% for commercial vehicles and 30% for private cars in the same time-frame.
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