Vajram Electric Ltd, a subsidiary of eBikeGo, has acquired a 40% stake in Hyderabad-based Varcas Automobiles, an electric vehicle (EV) manufacturer. This move is aimed at increasing production to meet the growing demand for electric two-wheelers in India. The acquisition will help Vajram Electric scale up its operations, especially in Tier II and Tier III cities, where demand for EVs is rapidly rising.
India’s Green Mobility
Dr. Irfan Khan, Chairman of Vajram Electric, highlighted the importance of the acquisition, stating that the partnership with Varcas Automobiles will provide the operational scale and technological expertise needed to bring affordable, high-quality electric vehicles to a larger audience. This collaboration will also contribute to India’s green mobility revolution, making eco-friendly transportation more accessible.
The acquisition is expected to create synergies that will benefit both companies. Vajram Electric, which has already delivered over 25,000 electric two-wheelers and earned INR 110 crore in revenue, aims to use Varcas’ manufacturing capabilities to enhance its market presence in smaller cities and towns. This partnership will help meet the growing demand for eco-friendly transport solutions.
Varcas Automobiles Commitment
Varcas Automobiles has built a reputation for offering reliable and affordable electric vehicles. Its CEO, Ram Vemireddy, expressed that the partnership with Vajram Electric aligns perfectly with Varcas’ mission to deliver high-quality EVs while supporting a cleaner environment. This collaboration will allow Varcas to strengthen its role in shaping India’s electric vehicle industry.
Past EV Expansion Efforts
This acquisition is part of eBikeGo’s larger efforts to expand its presence in the electric vehicle market. In 2021, eBikeGo acquired the manufacturing rights for the luxury electric three-wheeler ‘Velocipedo’ from Spain’s Torrot and also purchased Kustard Technologies, a UI/UX design studio, to enhance its fleet management systems. These steps show eBikeGo’s commitment to innovation and growth in the EV sector.
