Shares of Mahindra and Mahindra Limited gained nearly 6 percent to Rs 1,865 on February 16 after the company signed an agreement for Volkswagen components to be used in its electric vehicles.
Mahindra will equip a certain range of its INGLO electric platform with Volkswagen’s MEB and unified cells, according to a statement from M&M. The two companies had signed a partnering deal and term sheet back in 2022.
The unified cells concept is the core element of Volkswagen's battery strategy. The supply deal will run over several years and will have a total volume of about 50 GWh over a lifetime. Mahindra plans to launch five all-electric SUVs in India based on its new, purpose-built electric platform INGLO, starting December 2024, the statement said.
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"Mahindra will be the first external partner to use the groundbreaking unified cell concept, the core element of Volkswagen's battery strategy", the exchange filing added.
The company also said that with more than five million new vehicles per year in 2023, India is one of the largest automotive markets in the world. "The electrification of the passenger car segment is expected to gain significant momentum in the coming years."
Volkswagen’s MEB platform and its components are used by the Group brands Volkswagen, Audi, Škoda and SEAT/CUPRA and external partners like Ford and Mahindra. The partnership with Mahindra is led by Volkswagen Group Technology.
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