Ashok Leyland Acquires OHM To House All Future E-MaaS Business

With this agreement, OHM becomes a wholly owned subsidiary of Ashok Leyland, which will invest up to INR 300 crore in equity to operationalize the company.

Ashok Leyland announced that its Board of Directors has authorized the acquisition of 100% of Ohm Global Mobility Private Ltd (OHM) from OHM International Mobility Ltd for INR1 lakh. The consideration was minor because the company has yet to become operational, according to a press release from the automobile manufacturer.

With this agreement, OHM becomes a wholly owned subsidiary of Ashok Leyland, which will invest up to INR 300 crore in equity to operationalize the company. Existing E-MaaS contracts will also be migrated to OHM, subject to the relevant clearances. Ashok Leyland will provide guarantees or comfort letters required to secure future orders, subject to requisite approvals.

"E-MaaS has become an integral and important part of the Indian Commercial EV landscape. Today, a major portion of the EV Bus market, particularly State Transport Undertaking Orders, is channelled through the E-MaaS mechanism, necessitating the creation of a distinct firm. Switch India will deliver EV buses and light commercial vehicles to OHM for deployment under the E-Maas contracts. OHM will play a significant role in Ashok Leyland's EV portfolio," said Shenu Agarwal, Managing Director & CEO of Ashok Leyland.

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"E-Maas is gaining significance in India, and we believe that this is the right time for us to operationalize OHM India," stated Dheeraj G Hinduja, Executive Chairman.

E-MaaS will be a strategy implemented by both the public and private sectors to increase EV penetration. The government is looking to tighten the payment method under E-Maas, and there are various measures underway to increase EV usage.

With a commitment to sustainable transportation solutions, Ashok Leyland's decision to streamline its electric mobility services signifies a dedicated approach towards a cleaner and greener future. The move is set to create a distinct identity for the company's E-MaaS offerings while enhancing its overall market visibility and customer engagement.

As the world shifts towards electrification and sustainable transport, Ashok Leyland's strategic move to house its future E-MaaS endeavors under the "OHM" brand showcases the company's readiness to play an important role in shaping the future of mobility. With a strong focus on innovation and sustainability, Ashok Leyland is poised to contribute significantly to India's and the world's electric mobility revolution.