Mahindra & Mahindra is looking for investment partners for its domestic electric vehicles business and is finalising investment plans for its Automobili Pininfarina unit.
The automaker wants to be a key player in mass-market electric vehicles (EVs) through its unit Mahindra Electric and in the high-end segment through Europe-based Pininfarina, which is building an electric hyper car Battista, director Pawan Goenka said.
M&M said in June that it was evaluating all its businesses and would continue to invest only in those where it sees a strategic advantage or can get an 18% return. It has said that EVs are strategic to its growth.
As part of this evaluation, Mahindra has also decided not to proceed with the bid made by its North American unit to supply vehicles to the U.S. Postal Service, group CFO Anish Shah told the same press conference, conducted online.
The project would have required an investment of close to $500 million and given “the current environment and the focus on capital allocation” it would not have met the company’s targeted return on investment, he said.
Mahindra reported a sharp fall in profit for the April-June quarter to Rs 1.12B, compared with Rs 23.14B a year earlier, due to lockdowns and disruptions caused by the coronavirus pandemic.