Greaves Electric Mobility Pvt. Ltd, (GEM) a subsidiary of Greaves Cotton Ltd., has allotted 35.80% shares to diversified global investor Abdul Latif Jameel for his $150 million capital infusion into the company.
GEM completed the formalities by allotting 68,35,450 equity shares of ₹10 each by way of preferential allotment through private placement basis for a total consideration of ₹1,171 crore.
The proceeds will be used to develop new products, associated technologies and brand awareness, aiming to transform the company into a leading global EV manufacturer, Greaves Cotton said in a statement.
Following the allotment, GEM continues to be a subsidiary of Greaves Cotton and its shareholding stands 61.38%.
On June 2, GEM had announced that Mr. Jameel has committed to invest up to $220-million. As part of the deal, Mr. Jameel will initially infuse $150-million for a 35.8% stake in the company, making him the second-largest shareholder in the company.
GEM manufactures electric two-wheelers under the brand name of Ampere Vehicles and three-wheeler vehicles under the brands Ele and Teja.
Published - June 24, 2022 06:37 pm IST
