TI Clean Mobility Private Limited (TICMPL), a subsidiary of Tube Investments of India Limited (TII), has successfully signed agreements to raise INR 580 crore through Equity and Compulsorily Convertible Preference Shares (CCPS).
This funding, confirmed on May 6, 2024, is part of a larger initiative to raise INR 3,000 crore aimed at expanding TICMPL's electric vehicle (EV) operations. The investment comes from South Asia Growth Invest III LLC and South Asia EBT Trust III, collectively known as GEF.
With the latest investment from GEF, TICMPL's total fundraising effort has reached INR 2,530 crore. This capital injection will support the development and production of a range of electric vehicles, including three-wheelers, tractors, and both small and heavy commercial vehicles. TICMPL has already established itself as a leader in the passenger three-wheeler EV sector in South India and is now working to expand its reach across the country.
TICMPL is not only enhancing its existing product lines but also innovating in the electric vehicle space. The company is in the advanced stages of developing electric tractors and small commercial vehicles, with launches expected in the upcoming quarters. Additionally, the company and its subsidiaries have begun selling electric heavy commercial vehicles, further diversifying its EV offerings.
S Vellayan, Executive Vice Chairman of TII, said, “GEF is renowned for their commitment to environmental stewardship and their investment in TICMPL validates our vision and strengthens our resolve to provide cleaner commercial mobility solutions.”
Sridhar Narayan, Co-Founder and Managing Partner of GEF Capital Partners LLC, said, 'We're excited to partner with the Murugappa Group and invest in TI Clean Mobility - its differentiated platform targeting productive sub-segments with a strong focus on electrification. Led by industry veteran S Vellayan and supported by a talented team, they've shown early success with their unique go-to-market strategy. We look forward to supporting them in shaping the future of clean mobility.'
Kotak Investment Banking played a pivotal role as the exclusive financial advisor for the transaction, ensuring a smooth process and strategic alignment for TICMPL’s funding objectives.
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