- The Board of Directors of Mahindra & Mahindra Limited has granted in-principle approval for consolidation
- The EV operations will be categorised in two verticals - Last Mile Mobility (LMM) and Electric Vehicle Tech Centre
The Board of Directors of Mahindra & Mahindra Limited (‘M&M’) has granted in-principle approval for consolidation of Mahindra Electric Mobility Limited, a step-down subsidiary of the Company (‘MEML’) in to the company. The consolidation would categorise EV operations in two focussed verticals - Last Mile Mobility (LMM) and Electric Vehicle Tech Centre.
The two focussed verticals will further simplify the structure to drive improvements through innovation, execution excellence, efficiencies, and economies of scale. Additionally, it will also unlock shareholder value. The LMM vertical gets complete ownership of value chain for last-mile mobility solutions to drive growth and execution. On the other hand, the EV Tech Centre will gain from the depth of resources and synergy with M&M’s larger ecosystem of product development capability in MRV, North America, and Europe whilst exploring partnerships and alliances.
Commenting on the occasion, Rajesh Jejurikar, Executive Director, Mahindra & Mahindra Limited said, “Electric vehicles will be the future of the Automotive business. To be future-ready, we believe that EVs should be part of the core and mainstream business. This intent to consolidate is a part of our EV strategy which aims to electrify various segments that will popularise e-mobility. We will continue to draw upon our deep understanding of customer needs to bring in exciting new products in the EV space.”
In recent times, the EV sector has witnessed substantial growth in sales. EVs are undoubtedly the future of mobility from both cost and sustainability standpoint. With the electric vehicles business at an inflection point and poised to grow exponentially, this realignment will help in providing the requisite resources as well as the direction to realising targeted growth.
