E-bus maker PMI Electro Mobility Solutions Pvt. Ltd, on Wednesday said that it has raised Rs 250 crore ($30 million as per current exchange rates) from Piramal Group’s fund management arm, Piramal Alternatives.
Piramal Alternatives made the investment in the form of convertible securities, from its sector-agnostic Performing Credit Fund (PCF), which caters to mid-market companies.
ICICI Securities was the adviser to PMI Electro Mobility for this fund raise.
PMI is planning to use the funds to develop innovative solutions, bring technological advancements to its production capabilities and scale operations, the company said in a statement.
Its chief executive officer Aanchal Jain said that there has been a surge in demand for deployment of electric buses owing to the country’s vision of net-zero emissions goals with the recently announced PM eBus Sewa scheme.
Set up in 2017, the company has manufactured 1,200 electric buses that are operating in New Delhi, Uttar Pradesh, Himachal Pradesh, Goa, Maharashtra, West Bengal, Odisha, Gujarat, Kerala and Ladakh.
“With an order book of 2,500 buses that is expected to grow going forward, the investment from Piramal Alternatives will enhance PMI’s technological capabilities, and catapult our growth trajectory manifold,” Jain added.
The investor, Piramal Alternatives, has a total AUM of $1.5 billion. Some of its recent investments in Indian companies include specialty chemicals company Harmony Organics, precision engineering company Azad Engineering and hospitality company Impresario Entertainment.
“The advent of e-bus for transport, though nascent now, is poised for rapid growth in the coming time. We will keep looking at opportunities for investments in the EV space, particularly those that create a long-term positive impact keeping in mind environment, social and governance considerations,” said Kalpesh Kikani, chief executive officer of Piramal Alternatives.
