NIIF’s India-Japan Fund Commits INR 400 Crore Investment in Mahindra’s Last Mile Mobility Division
Mahindra Last Mile Mobility Limited (MLMML), part of the big car company Mahindra & Mahindra, got an investment of 400 crore rupees from the India-Japan Fund (IJF). This fund is managed by the National Investment and Infrastructure Fund (NIIF).
Mahindra & Mahindra made a deal with IJF to invest this money in their business that focuses on small vehicles for short distances. This includes their three-wheelers (like Alfa, Treo, and Zor) and small four-wheelers (like Jeeto). The deal was made on January 11th. This is the first time IJF has invested in something since it started in August 2023.
The IJF has a total of 4,900 crore rupees (which is about 600 million US dollars). It’s supported by the Japan Bank of International Cooperation and the Indian government. The fund aims to invest in projects that are good for the environment and reduce carbon emissions. It also wants to help Japanese companies invest in India and work with Indian companies.
Rajesh Jejurikar, a top executive at Mahindra & Mahindra, said they are excited to have IJF join them. They plan to use this investment to grow their business, focusing on electric vehicles for short trips. They believe this will help small business owners and are working on making these vehicles more popular and accessible.
With this investment, IJF will own between 6.06% and 8.25% of MLMML, which is valued at up to 6600 crore rupees.
“The fund’s investment in MLMML not only underlines our dedication to promoting sustainable and innovative mobility solutions but also strengthens the partnership between India and Japan in high-growth sectors. Together with our partners JBIC, we believe that our investment in MLMML should yield transformative results in the last-mile mobility domain, driving economic growth, generating employment and ensuring environmental sustainability,”said Krishna Kumar G, Partner, IJF, NIIF.