Atul Auto Limited has announced a significant collaboration with Bengaluru-based Exponent Energy Private Limited to manufacture and supply 15,000 electric three-wheelers. The project, valued at ₹490.50 crore, marks a strategic move for Atul Auto into the electric vehicle sector.
Under the terms of the Memorandum of Understanding (MOU), Atul Auto will serve as the Original Equipment Manufacturer (OEM) for the electric three-wheelers, which will be integrated with Exponent’s advanced battery system and powertrain. This collaboration includes not only manufacturing but also the supply, sales, servicing, and customer support of the vehicles.
The agreement stipulates a volume commitment of 15,000 electric three-wheelers over a period of three years, with a possible extension of six months, contingent on approvals from state transport authorities. This initiative is expected to bolster Atul Auto’s presence in the burgeoning electric vehicle market.
The vehicles will feature Exponent’s pioneering 15-minute rapid charging technology and a battery life warranty of up to 200,000 kilometres. Atul Auto will handle all vehicle-level manufacturing activities, including the integration of Exponent’s battery system and powertrain, quality control, end-of-line testing, and delivery of fully built vehicles to Exponent.
The collaboration is entirely domestic, with no involvement of international entities. Additionally, the project does not fall under related party transactions, and there is no interest from the promoter group in Exponent Energy.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).