The Ashok Leyland board has approved an investment of Rs 1,200 crore in Switch Mobility

10 Nov 2023 , 12:19 PM

On Thursday, November 9, Ashok Leyland Ltd., a manufacturer of commercial vehicles, announced that its board of directors had authorized an equity investment of Rs 1,200 crore in Switch Mobility made through its parent company, Optare PLC UK.

The infusion of funds will be utilized for R&D, capital expenditures, and fulfilling operating needs in India and the UK. Ashok Leyland stated in a regulatory filing that the funds will be infused over the next few months following the necessary statutory approvals in one or more tranches. Ashok Leyland’s electric mobility initiative, which focuses on eBuses and e-LCVs, is housed by the Switch Group of Companies, which includes Switch Mobility Ltd. in the UK and Switch Mobility Automotive Ltd. in India.

Switch India has achieved significant success in obtaining orders from state transport undertakings in the past few years. According to the statement, Switch currently operates more than 800 buses in India and the UK and has over 1,200 buses on order.

The only double-decker e-bus in India was successfully introduced by Switch India last year. Switch India introduced its cutting-edge e-LCVs in September 2023. For its much-anticipated e-LCVs, which it will begin delivering in the fourth quarter of the current fiscal year, the company has inked MoUs with over 13,000 vehicles.

On the BSE, Ashok Leyland Ltd.’s shares traded at Rs 172.15, up Rs 1.75, or 1.03%.

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