- ALSO READ
Self-publishing picks up among children, young adults; few go mainstream
Tata Motors Q3 preview: What to expect from auto major's quarterly results?
Tata Motors comes out with a SUV teaser; here's what you can expect
What does ACMA President Sunjay Kapur think of localisation?
Expect CV industry to grow in double digits this fiscal: Tata Motors ED
-
Indian carmaker Tata Motors has begun talks with sovereign wealth funds and private equity investors to raise up to $1 billion via a stake sale in its electric vehicle (EV) business, Economic Times reported on Thursday, citing sources.
The company plans to sell a significant minority stake, the newspaper report added, eyeing a valuation of about $10.5 billion.
The funds and investors include the UAE-based Abu Dhabi Investment Authority (ADIA) and Mubadala Investment Company, the Saudi Arabia-headquartered Public Investment Fund, Singapore's Temasek Holdings, and KKR and General Atlantic.
Tata Motors and some of the companies did not immediately respond to Reuters' request for comment.
KKR declined to comment while Temasek said it does not comment on "market speculation and rumours".
Tata Motors plans to use the bulk of the proceeds to retire a part of its outstanding debt and infuse a small portion as primary equity in the EV business, the report said.
Earlier this week, Uber Technologies said it plans to introduce 25,000 EVs over three years in India and will buy vehicles from Tata Motors, India's biggest electric carmaker.
Tata Motors has outlined plans to expand its electric car portfolio with new models and higher price points.
India's car market is tiny compared to its population, with electric models making up just 1% of total car sales of about 3 million a year. The Indian government wants to grow this to 30% by 2030.
In 2021, Tata Motors raised $1 billion from TPG and Abu Dhabi state holding company ADQ for its EV unit at a $9 billion valuation, pledging to invest more than $2 billion in its EV business over five years.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Subscribe to Business Standard Premium
Exclusive Stories, Curated Newsletters, 26 years of Archives, E-paper, and more!
Insightful news, sharp views, newsletters, e-paper, and more! Unlock incisive commentary only on Business Standard.
Download the Business Standard App for latest Business News and Market News .
First Published: Thu, February 23 2023. 10:03 IST
RECOMMENDED FOR YOU