Amara Raja Batteries signs MoU with Telangana Govt for Lithium-ion Battery Gigafactory

5 Dec 2022 , 09:16 AM

Amara Raja Batteries Limited (ARBL) has signed a memorandum of understanding (MoU) with the Government of Telangana to setup state-of-the-art research and manufacturing facilities for lithium-ion battery-making in Mahbubnagar district, Telangana.

Over the next 10 years, the company intends to invest over Rs9500 crore, after necessary approvals. 

As the latest in its pivot to becoming an ‘Energy & Mobility’ enterprise, Amara Raja Batteries has chosen the State of Telangana to house the Amara Raja Giga Corridor.

The initial facilities would include a first-of-its kind advanced energy research and innovation center in Hyderabad, dubbed the Amara Raja E-hub.

This facility will be equipped with advanced laboratories and testing infrastructure for material research, prototyping, product life cycle analysis and Proof of Concept demonstration. This will cater to the development needs of the Amara Raja as well as to provide a range of facilities open to other players in the energy and mobility ecosystem.

Amara Raja envisions the E-hub to serve as a much-needed catalyst for multi-stakeholder collaboration and fostering entrepreneurship in these emerging sectors, in line with the ‘Atmanirbhar Bharat’ vision of the Government of India. In addition, as part of its journey towards Giga scale manufacturing of advanced cell technology products, Amara Raja would be establishing commercial scale pilot plant and the first giga scale cell production facility.

Towards this, the company had on November 03, 2022 announced the incorporation of a subsidiary named Amara Raja Advanced Cell Technologies Pvt. Ltd. Amara Raja has been working on Li-ion cell chemistries specifically suited for Indian subcontinent conditions, and already supplies lithium battery packs and chargers to some 2 and 3-Wheeler OEMs.

On Monday early morning trade, Amara Raja Batteries Ltd is currently trading at Rs658 per share up by Rs4.65 or 0.71% from its previous closing of Rs653.35 per share on the BSE.

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