Greaves Cotton to invest up to ₹331 cr in Greaves Electric mobility

Greaves Cotton Limited announced Friday that its board of directors has approved a plan to fully subscribe to its entitlement in the upcoming rights issue of its subsidiary, Greaves Electric Mobility Limited (GEML).

The investment will aggregate up to approximately ₹331 crore.

The engineering parent company will fund the transaction using its existing balance sheet and cash reserves. The capital deployment is aimed at maintaining Greaves Cotton's position within the domestic electric vehicle market.

"Our proposed investment in Greaves Electric Mobility Limited reflects our conviction in the long-term opportunity presented by India's transition to sustainable mobility," said Parag Satpute, Managing Director and Group CEO of Greaves Cotton Limited.

The transaction remains subject to the finalization of the terms of the rights issue by the GEML board.