Ratan Tata-promoted Electra EV raises $25 mn

Ratan Tata-promoted Electrodrive Powertrain Solutions or Electra EV has raised USD 25 million in equity capital from GEF Capital for a minority stake.

The Tata Group patriarch set up Electra EV in 2017 and the company designs, manufactures and supplies EV powertrains systems across passenger and commercial vehicle segments.

It also has products for the agriculture and off-highway segments.

In a statement, Electra EV said the funding is being carried out by the private equity firm GEF Capital South Asia's second growth fund.

The company has its manufacturing plant in Coimbatore and an R&D centre in Pune.

The company will use the capital for expanding its product portfolio in the three and four-wheeler segments and agricultural applications.

It will also deploy the cash to further enhance its design, testing and prototyping capabilities and expand the production capacity.

Samir Yajnik, an executive director of the startup, said this funding provides us with the financial wherewithal and a like-minded partner like GEF Capital to help us innovate more and acquire new customers.

GEF Capital is a private equity fund focused on making investments in companies that seek to address the adverse effects of climate change.

Apart from India, it has operations in the US and Brazil.