TI Clean Mobility to acquire 65% in IPL Tech Electric for Rs 246 cr

The deal would be done through a combination of primary and secondary purchases of shares

Murugappa Group’s Tube Investments of India has, through its subsidiary TI Clean Mobility (TCM), entered into an agreement with electric heavy commercial vehicle company, IPL Tech Electric (IPLT) to acquire 65 per cent stake in that company for Rs 246 crore.

The company said in a statement on Tuesday that the acquisition would be through a combination of primary and secondary purchases of shares. “The acquisition of IPL Tech Electric Private Limited has expanded our footprint in the clean mobility space and gives us a first mover advantage in this segment. We have taken another important step to further our vision of improving quality of life through eco-friendly mobility solutions and to drive our ESG goals,” said M A M Arunachalam, chairman of the company.

IPL Tech, a start-up formed in 2019, is India’s first company to manufacture electric heavy commercial vehicles. The first offering of IPLTech Electric is “Rhino 5536” designed to run-on all-weather condition roads.

Tube Investments of India was actively exploring growth opportunities in clean mobility. The Company had formed a 100 per cent subsidiary TCM to consolidate and focus on its clean mobility ventures. TCM has existing interests in three-wheeler electric vehicles and electric tractors (operated through its subsidiary Cellestial E-Mobility).

Early this month, it had announced that the group will foray into electric vehicles through the launch of its electric three wheeler brand Montra by September this year. The clean mobility arm of the Murugappa group will invest around Rs 200 crore in the electric three wheeler segment.