Murugappa group electric vehicle company TI Clean Mobility (TICM), a wholly owned subsidiary of Tube Investments of India (TII), announced that it has signed “definitive documents” with TII, Multiples Private Equity Fund III, State Bank of India and other co-investors to raise up to Rs 1,950 crore in the form of equity and compulsory convertible preference shares.
The total investment by Multiples, SBI and other co-investors would aggregate up to Rs 1,200 crore whereas TII’s total investment would be Rs 750 crore, of which it has already invested Rs 639 crore by way of equity and ICD. Further, TICM plans to raise additional funding of Rs 1,050 crore by the end of March 2,024, thereby taking the total fund raise to Rs 3,000 crore.
Renuka Ramnath, founder-MD & CEO, Multiples Alternate Asset Management, said, “We are privileged and excited to partner with the Murugappa group in its journey to build India’s leading electric commercial vehicle OEM. In line with our strategy of identifying big shifts and investing with category champions, we believe that TICM, under the leadership of Arun Murugappan and S Vellayan, will build a strong brand with a differentiated customer proposition. We are delighted to strengthen our relationship with the Murugappa group after a successful Chola partnership in 2013.”
MAM Arunachalam (known as Arun Murugappan), chairman, TII and TICM, said, “TICM is focused on the productive segment of electric vehicle industry — three-wheelers, tractors and heavy commercial vehicles. The confidence reposed by esteemed investors such as Multiples and its co-investors will give TICM the necessary impetus to fulfil our ambition by scaling our operations through organic and inorganic means.”
S Vellayan, VC, TII and TICM, said, “Our trusted relationship with Multiples dates back to over a decade. Murugappa group’s decades of experience across auto components, vehicle financing, agri-led businesses and motors gives us the unique ability to build a large EV native OEM.”
Source @Indianstartupnews
