Dana Incorporated picks up 1 pc stake in Switch Mobility for USD 18 mn
Switch Mobility, the electric commercial vehicles arm of Ashok Leyland, on Friday said Dana Incorporated (Dana), a global leader in drivetrain and e-propulsion systems, has picked up 1 per cent stake in it for USD 18 million (over Rs 130 crore).
Switch Mobility has signed a strategic agreement with Dana under which the latter will also be a preferred supplier of electric drivetrain components for its e-bus and EV commercial vehicle offering, including e-axles, gearboxes, motors, inverters, software and controls, and electronics cooling, the company said in a statement.
''With this agreement Dana not only becomes an important supplier to Switch but will also invest USD 18 million in the company, representing an approximate 1 per cent stake,'' Switch Mobility Chairman Dheeraj Hinduja said.
''The investment exemplifies the confidence placed by Dana in Switch and will help to strengthen the relationship further. At Switch Mobility, we have ambitious plans to lead zero carbon mobility globally through positioning innovative products and solutions with best in class TCO (total cost of ownership),'' Hinduja added.
Switch Mobility was formed by combining the electrical commercial vehicle operations of Ashok Leyland in India and Optare in the UK to secure a leading global position in net zero carbon buses and light commercial vehicles.
On Wednesday, Hinduja group flagship firm Ashok Leyland announced that it would invest up to USD 200 million (nearly Rs 1,500 crore) on its electric vehicles journey through its UK-based arm Switch Mobility in the next few years.
Switch Mobility will play in the commercial e-mobility space globally for the group through next-generation electric bus and light commercial vehicles and will launch an electric light commercial vehicle (eLCV) later this year in India.
Ashok Leyland is banking on Switch Mobility to play a crucial role to achieve its ambition of becoming one of the top ten players globally in the commercial vehicles segment through the latter's electric commercial vehicles, which would allow it to serve developed markets like the US, Europe and Japan.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)