Shares of Mahindra & Mahindra (M&M) hit a record high in early trade today after Volkswagen inked a supply agreement for electric components of Volkswagen´s MEB and unified cells for use in the Indian firm’s electric platform INGLO. M&M shares rose 6% to a high of Rs 1864.65 against the previous close of Rs 1765.55 on BSE. Market cap of the firm rose to Rs 2.29 lakh crore.
Both companies continue to explore further potential opportunities for collaboration in India in the field of e-mobility, M&M said.
The agreement is a definitive step further on both firms joint vision for e-mobility collaboration. The deal covers the supply of certain electric components as well as unified cells.
"With the agreement, Volkswagen and Mahindra are further deepening their collaboration which started with a partnering agreement and a term sheet in 2022. Both companies will continue to evaluate a potential expansion of the collaboration," M&M said in filing to stock exchanges.
"Volkswagen’s MEB platform and its components are used by the Group brands Volkswagen, Audi, Škoda and SEAT/CUPRA as well as external partners like Ford and Mahindra. The partnership with Mahindra is led by Volkswagen Group Technology and its 'Platform Business' unit in close cooperation with Škoda Auto Volkswagen India," said Volkswagen.
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