TVS believes its EV subsidiary will enable it to scale up its business
TVS Motor Company has revealed that it will be forming a separate EV subsidiary weeks after announcing its plan to launch a complete range of electric 2-wheelers in the next 2 years.
Its board has approved the incorporation of a wholly-owned subsidiary to undertake its electric mobility business, TVS said on Thursday.
Director and Chief Executive Officer of TVS Motor Company, K N Radhakrishnan, said, “This subsidiary will give us the flexibility and freedom to scale up the business.”
He added, “very shortly we will see new EV products coming in,” echoing the comments made by Joint Managing Director of the firm, Sudarshan Venu in September.
Venu had said TVS will introduce electric 2-wheelers and 3-wheelers for both the passenger and cargo segments with power outputs between 5 kW (6.7 BHP) and 25 kW (33.5 BHP). The automaker will invest over Rs. 1000 crores for its upcoming EVs.
Further, TVS will rollout an upgrade for the iQube electric scooter and will sell the EV across the nation before the end of this fiscal year. The 2-wheeler is sold in 33 cities across India right now.
The company has already entered into a partnership with Tata Power with the aim to create electric 2-wheeler charging infrastructure in India and even purchased 80 percent stake in Ego Movement, a Swiss e-bicycle company, last month to capture the growing electric bicycle market in developed nations.
Before TVS, however, Bajaj Auto had announced in July that it will be forming a new EV subsidiary to expand its presence in electric and hybrid vehicle space.