Tata Motors Ltd (TML) and TPG Rise Climate on Tuesday entered into a binding agreement whereby TPG Rise Climate along with its co-investor ADQ of Abu Dhabi have proposed to invest $1 billion (Rs 7,500 crore) in the proposed electric mobility subsidiary of Tata Motors.
TPG Rise Climate along with co-investors will invest in compulsory convertible instruments to secure between 11 per cent to 15 per cent stake in this company translating to an equity valuation of up to $9.1 billion.
The new electric vehicle (EV) company will leverage all existing investments and capabilities of Tata Motors and will channelise the future investments into electric vehicles, dedicated BEV platforms, advanced automotive technologies and catalyse investments in charging infrastructure and battery technologies.
