M&M shares rise on new EV battery testing facility

Mahindra and Mahindra Limited (M&M) shares rose over 1 percent to Rs 1,491 at 10:06 am on August 1.

The automobile major announced on July 31 that it is establishing an electric vehicle (EV) battery testing facility at Mahindra Research Valley (MRV) in Chengalpattu and a crash test facility at Mahindra SUV Proving Track (MSPT) SIPCOT, both in Tamil Nadu.

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As per the disclosure to the exchanges, the EV battery testing facility will be set up at a cost of Rs 210 crore, which would lead to the employment of more than 1,000 people and the crash test facility will be constructed for Rs 290 crore. Additionally,  the company will invest Rs 12 crore in their Information Technology facility located in Coimbatore.

This gains significance as the M&M EV business is likely to get another round of fund infusion. The proposed funding will be completed within two weeks, CNBC-TV18 reported on August 1 citing sources familiar with the matter.

State-of-the-art

The MRV R&D facility, established in 2012, is located on a 125-acre site within the Mahindra World City, Chengalpattu. Notably, MRV holds the distinction of being the world’s first R&D center to integrate Automobile and Tractor Product Development under one roof.

In recent times, MRV has successfully launched various new vehicle models, including XUV500, THAR, XUV 300, KUV 100, Alturas, TUV 300, Arjun Novo, Yuvo, Jivo, among others.

Furthermore, Mahindra owns a 454-acre test track in SIPCOT Cheyyar, which is dedicated to vehicle testing and validation, ride handling, and other relevant capabilities

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