Shares of Muthoot Capital Services Ltd surged nearly 6% on Wednesday, March 13, after the company said it had collaboration with Greaves Finance to expand electric two-wheeler financing across India.
The partnership involves a total deal worth up to ₹150 crore ($18 million), showcasing the magnitude of the initiative aimed at promoting widespread adoption of electric vehicles in India.
This is the first electric two-wheeler financing partnership for the Muthoot Pappachan Group entity.
This partnership strives to enable accessible, personalised, and convenient financing choices for customers interested in acquiring electric two-wheelers, the company said in a stock exchange filing.
Muthoot Capital Services said the company along with Greaves Finance, through its 100% EV-focused lending platform "evfin", have initiated a co-lending arrangement to enhance the availability of financing solutions for electric two-wheelers throughout India.
Greaves Finance is the non-banking financial company (NBFC) and a wholly-owned subsidiary of Greaves Cotton Ltd.
As the demand for electric vehicles (EVs) in India keeps growing, this collaboration emphasizes the commitment of both companies to expedite the adoption of sustainable transportation options.
"This partnership not only underscores our dedication to promoting sustainable mobility solutions but also reaffirms our commitment to providing innovative financing options that cater to the evolving needs of our customers," Sandeep Divakaran, CEO, Greaves Finance Ltd, said, Both companies are dedicated to backing electric two-wheeler manufacturers, such as OLA Electric, Ather Energy, Ampere, Hero MotoCorp and TVS Motor.
"A two-wheeler is one of the most sought-after vehicles among Indian families, I believe, especially the lower middle-income segment, and partnerships such as these will help us move closer to our customers,” Mathews Markose, CEO, Muthoot Capital Services Ltd, said.
At 11.30 am, shares of Muthoot Capital were trading 0.22% lower at ₹290.9 apiece on BSE.
