Pune-based electric vehicle (EV) startup EKA Mobility successfully secures second investment from Mitsui & Co. The new funding is a part of their strategic planning and highlights the confidence of investor in the EV market.
Eka partnered with Mitsui and VDL Groep in December 2023. It is learned the alliance is to channel USD 100 million (approximately Rs 850 crores) into EKA Mobility in various phases. The funding will combine equity investments and technology sharing. As an aftermath, EKA will be positioned as a leading original equipment manufacturer (OEM) in India.
The financial investments of Mitsui are complemented by the technological expertise of VDL Groep. VDL Bus & Coach, which is a subsidiary of VDL Groep and a leader in the European electric bus market, will transfer its technology to EKA.
EKA will produce state-of-the-art electric buses for the Indian market. It will basically leverage VDL’s advanced innovations and established reputation as well.
EKA has earned fame in developing a diverse range of electric vehicles. Its notable portfolio includes electric buses in the 7-meter, 9-meter and 12-meter categories. It has also developed intercity coaches and electric light commercial vehicles.
EKA has witnessed impressive order booking that has exceeded 1,000 electric buses and 5,000 electric light commercial vehicles. Its buses have been widely accepted in major metropolitan areas like Delhi and Greater Mumbai. Hence, it has a bright future and a further surge in orders is expected in the near term.
Mitsui’s investment earlier this year facilitated establishment of EKA’s R&D centers dedicated to electric commercial vehicles. It is one of the largest in India and focuses mainly on new product development and expansion. The new funding is learned to bolster EKA’s manufacturing efficiency further and accelerate development of new products, enhance market reach as well as provide necessary working capital.
