Ashok Leyland invest INR 1200cr in switch for product portfolio, R&D, and operations expansion
As on date Switch in India and UK has over 800 + buses plying successfully and has an order book of over 1200 buses. Switch India had a successful launch of India’s only Double Decker e-Bus last year.
Chennai- Ashok Leyland Limited., of the Hinduja Group Ltd., a commercial vehicle manufacturer, held the meeting. The Ashok Leyland Board of Directors approved an INR 1200 cr equity investment in Switch Mobility Ltd., through its holding company, Optare PLC UK. The invested funds will be used for R&D, capital projects, and fulfilling operating needs in India and the UK. Following the required statutory clearances, the funds will be pumped in one or more tranches over the course of the upcoming few months.
Switch Group of Companies (Switch Mobility Ltd - UK and Switch Mobility Automotive Ltd- India) house the Electric Mobility initiative of the CV major, Ashok Leyland, focusing on e-Buses and e-LCVs. Over the last few years, Switch India has had major success in garnering orders from State Transport Undertakings. As on date Switch in India and UK has over 800 + buses plying successfully and has an order book of over 1200 buses. Switch India had a successful launch of India’s only Double Decker e-Bus last year.
In September 2023, Switch India launched its state-of-the-art e-LCVs. The company has signed MOUs of over 13000 vehicles for its much-awaited e-LCVs which it will start delivering from the fourth quarter of the current fiscal.
Mr. Dheeraj G Hinduja, Executive Chairman, Ashok Leyland said that, With governments and individual consumers spearheading the green push, electric vehicles, particularly those seen in buses and light trucks, have a very bright future. We are thrilled with Switch's development and will keep funding the expansion of its capabilities. With the introduction of our new E1 12m bus, which was created especially for the European market, in 2024, we are optimistic that Switch will continue to expand in the European markets. Our range of electric buses will cater to both budget-conscious and high-end clients across multiple continents.
Mr. Shenu Agarwal, Managing Director & CEO, Ashok Leyland said that, The drive towards Carbon Neutrality is propelling the EV market's rapid growth. The market is continuing to grow thanks in part to government support. We intend to enhance our business's capacity by allocating resources towards both product development and operational expansion. The EV truck and bus markets in Europe and India are expected to be significant growth drivers. We anticipate that our e-LCVs will accelerate client adoption in the upcoming year. The initiatives of Switch can be comfortably funded by Ashok Leyland's balance sheet.
