Mahanagar Gas forms JV with IBC for battery manufacturing
Last month, MGL had announced the signing of an indicative and non-binding term sheet with International Battery Company for a proposed investment in IBC of an amount not exceeding INR 3.85 billion.
India's Mahanagar Gas (MGL) is forming a joint venture entity with International Battery Company for undertaking the manufacturing, promotion, marketing, distribution and sale of battery cells to customers in India.
In a regulatory filing MGL stated that it has signed a share subscription agreement (SSA) and a shareholding agreement (SHA) with International Battery Company, Inc. (IBC US). Both parties will invest in International Battery Company India Private Limited (IBC) to form a joint venture company, which is currently a 100% subsidiary of IBC US.
Last month, MGL had announced the signing of an indicative and non-binding term sheet with International Battery Company, Inc, a Delaware Corporation, for a proposed investment by the company in IBC of an amount not exceeding INR 3.85 billion, for a stake not less than 40%.
“Foray into battery cell manufacturing will strengthen its position in the evolving energy space, which aligns with MGL’s objective of a cleaner future,” Ashu Shinghal, managing director of MGL said
“The partnership of IBC US and MGL in setting up one of India’s first giga factories around the future proof prismatic form factor will enable indigenous supply chain security of one of the key bottlenecks today in India’s journey towards energy independence, while significantly reducing billions of dollars of forex expenditure,” Priyadarshi Panda, chief executive officer of IBC Inc, said.
