Atul Auto Partners with Exponent Energy to Manufacture 15,000 Electric Three-Wheelers
Atul Auto Limited has established a Memorandum of Understanding (MOU) with Exponent Energy Private Limited, a Bengaluru-based energy company specializing in 15-minute rapid charging technology for commercial electric vehicles. The partnership aims to facilitate the manufacturing and supply of 15,000 electric three-wheelers, which will be fully integrated with Exponent's advanced battery system and powertrain.Under the agreement, Atul Auto Limited will function as the Original Equipment Manufacturer (OEM). The scope of the collaboration includes the manufacturing, supply, sale, servicing, and customer support for the electric three-wheelers. The partnership is expected to significantly accelerate Atul Auto's presence within the electric vehicle segment.
Exponent Energy is noted as a pioneer in the field, providing technology that boasts a battery life warranted for up to 2,00,000 kms and utilizing 15-minute rapid charging capability. Atul Auto will be responsible for all vehicle-level manufacturing activities, including the integration of Exponent's specialized battery system and powertrain, quality control, end-of-line testing, and delivery of the fully assembled vehicles to Exponent.
The collaboration commits to a total volume of 15,000 Exponent Enabled Vehicles. The initial agreement covers a total consideration of Rs. 490.50 Crore, which includes the cost of the battery system and powertrain procured from Exponent. The effective pricing agreed upon by the parties is approximately Rs. 3.27 Lacs per vehicle (Exclusive of GST).
The commercial agreement sets a period of three years to execute the order commitment, commencing from the date of receiving state transport authority approvals. This operational period is extendable by an additional grace period of six months for the completion of the volume commitment.
Key details of the agreement between Atul Auto Limited and Exponent Energy Private Limited are summarized below:
| Particulars | Detail |
|---|---|
| Product | Electric three-wheelers |
| Volume Commitment | 15,000 units |
| Total Consideration | Rs. 490.50 Crore |
| Per Vehicle Price | Appx. Rs. 3.27 Lacs (Exclusive of GST) |
| Technology Focus | 15-minute rapid charging; battery life up to 2,00,000 kms |
| Duration | Three years (Extendable by six months) |
| Role of Atul Auto | Original Equipment Manufacturer (OEM) |
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