Kinetic Green Energy and Power Solutions Ltd, part of the Kinetic & Firodia Group, is planning an aggressive expansion programme which will involve the company investing about ₹250 crore. For this, the Pune-headquartered company will be raising about $35 million (₹250 crore) from private equity investors.
The company’s current growth plan follows traction in India’s electric three-wheeler market on the back of a favourable policy framework, greater affordability and price parity with fossil fuel vehicles, among others.
“Now, we feel that we have reached the point of inflexion with battery-swapping, government policy and other favourable factors; we are looking at growing aggressively in the years to come,” said Sulajja Firodia Motwani, founder and CEO of Kinetic Green.
The company sees growing demand for battery-swapping models. There is a strong response from e-commerce players that are keen to buy Kinetic three-wheelers for last-mile delivery, said the firm. The company has an order book for about 20,000 vehicles.
BPCL joins Kinetic Green for an e-driveWith tech support from IIT-M, to offer batteries that can be swapped to run three-wheelers
It has already invested close to ₹100 crore for capex and working capital. Its vehicles have more than 90 per cent localisation. The company plans further investments to support future growth and a joint venture with Lamborghini.
“We intend to invest in new technologies of three-wheelers and want to enter the export markets. So, we may invest in R&D, product development, manufacturing and production capacity of the joint venture as well as some working capital. Altogether, we are looking to invest ₹200-250 crore in the next two or three years,” said Motwani.
Kinetic Green plans to double its capacity from the current 6,000 e-autos per month.
To support the growth plan, it is in the process of raising $35 million. “We are in talks with some PE investors and we hope to finalise it in two or three months,” said Motwani.
Lamborghini joint venture
She also said the first set of premium and super-premium golf carts, produced at the company’s facility as part of its 75:25 joint venture with Lamborghini, will come out this September. The premium golf carts will be designed in Italy, manufactured at the Kinetic facility and sold across the world.
The company has set a sales target of 23,000 e-three wheelers for FY21 and total revenue of ₹400 crore, up from an estimated ₹150 crore this fiscal.