Tube Investments hits 52-week high as arm acquires 65% stake in IPL Tech for Rs246 crore

19 Jul 2022 , 01:57 PM

Tube Investments of India Limited has been actively exploring growth opportunities in clean mobility. The Company formed a 100% subsidiary viz. TI Clean Mobility Private Limited ('TICMPL') to consolidate and focus on its clean mobility ventures.

TICMPL has existing interests in 3-wheeler electric vehicle and electric tractors (operated through its subsidiary Cellestial E-Mobility Private Limited).

In line with its vision to pursue clean mobility, TICMPL has executed definitive agreements to acquire about 65% equity stake in an electric heavy commercial vehicle company, IPLTech Electric Private Limited ("IPLT"). 

The acquisition would be through a combination of primary and secondary purchase of shares for a total consideration of about Rs246 crore.

IPL Tech Electric Private Limited, a start-up formed in 2019, is lndia's first company to manufacture electric heavy commercial vehicles. The first offering of IPLT is "RHINO 5536" designed to run-on all-weather condition roads.

Commenting on the acquisition, Mr. M.A.M Arunachalam (known as Arun Murugappan), Chairman of the Company said, "The acquisition of lPLTech Eleqtric 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 impoftant step to further our vision of improving quality of life through eco-friendly mobility solutions and to drive our ESG goals."

At around 1:53 PM, Tube Investments of India was trading at Rs2187 per share higher by 8.78%, after hitting 52-week high at Rs2196.35 per share on the BSE.