Ashok Leyland To 100% Acquire OHM India; Will Invest Rs. 300 Cr As Equity

The Indian flagship of the Hinduja Group, Ashok Leyland's board has approved the acquisition of 100 per cent of Ohm Global Mobility (OHM) from OHM International Mobility for a nominal consideration of Rs 1 lakh. As the company is yet to become operational the consideration was nominal.

With this move, OHM becomes a 100 per cent subsidiary of the company. Ashok Leyland will also be investing up to Rs. 300 Cr as equity into OHM to operationalise the company. In addition, existing E-MaaS contracts will be transferred to OHM subject to necessary approvals.

Dheeraj G. Hinduja, Executive Chairman of Ashok Leyland, mentioned: “E-Maas is gaining significance in India, and we feel that this is the right time for us to operationalise OHM India. E-Maas will be a strategy adopted by both the Public Sector and Private Sectors to enhance EV penetration. The government is looking to strengthen the payment mechanism under E-Maas and there are several initiatives that the Government is pursuing to enhance EV adoption. Given this backdrop, OHM will acquire significant importance and we are very positive on its prospects.”

Any guarantees or comfort letters to be furnished to secure future orders, will be provided by Ashok Leyland.

Shenu Agarwal, Managing Director & CEO of Ashok Leyland, stated: “Today a significant part of the EV Bus market – especially State Transport Undertaking Orders – are routed under the E-MaaS mechanism and we needed to have a separate company for that. Switch India will be supplying the EV Buses and Light Commercial Vehicles to OHM for it to deploy under the E-Maas contracts. OHM will become an important company in the EV portfolio of Ashok Leyland.”