Amara Raja has inaugurated a new EV battery pack plant in Telangana with a production capacity of 5GW. This initiative is part of the company’s strategy to enhance battery production and meet the growing demand for electric vehicles (EVs). Additionally, Amara Raja has entered into an agreement with Piaggio to develop lithium-ion batteries and chargers for EV 3-wheelers. This move is expected to yield significant returns for the company’s shareholders.
Highlights:
- Amara Raja launches a 5GW capacity EV battery pack plant in Telangana.
- The first phase of the plant will have a capacity of 1.5 GWh.
- The company has partnered with Piaggio to develop batteries and chargers for EV 3-wheelers.
- The company plans to invest ₹9,500 crore for establishing the Giga Corridor.
- The company’s market cap stands at ₹27,433.67 crore.
Key Points about Amara Raja
| Key Details | Information |
|---|---|
| Plant Capacity | 5GW |
| First Phase Capacity | 1.5 GWh |
| Investment Amount | ₹9,500 crore |
| Market Cap | ₹27,433.67 crore |
| Agreement With | Piaggio |
| Share Price | ₹1,505.80 |
Amara Raja’s New EV Battery Pack Plant
Inauguration in Telangana
Amara Raja Advanced Cell Technologies (ARACT) has recently inaugurated a new battery pack plant in Mahbubnagar district, Telangana. This facility will manufacture lithium-ion batteries, which will be supplied to EV Original Equipment Manufacturers (OEMs). The first phase of the plant has a capacity of 1.5 GWh, with the total capacity expected to reach 5GW upon completion.
Establishment of the Giga Corridor
During the groundbreaking ceremony, Amara Raja Energy & Mobility Chairman and MD, Jayadev Galla, highlighted that this event marks the beginning of a transformative journey for the region. The company plans to establish the Giga Corridor with a battery pack capacity of 5GWh and 16GWh cell manufacturing by 2029.
Investment and Infrastructure
Amara Raja will invest ₹9,500 crore by 2031 to develop the Giga Corridor. The Giga Corridor, spread across 260 acres, will include a battery pack facility as well as a giga factory for advanced cell manufacturing. The company is also constructing the first-of-its-kind Advanced Energy Research and Innovation Center in Hyderabad, known as ePositive Energy Labs.
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Agreement Between Amara Raja and Piaggio
Development of Lithium-Ion Batteries and Chargers
Amara Raja has signed an agreement with Piaggio to jointly develop lithium iron phosphate, lithium-ion cells, and chargers for Piaggio’s EV 3-wheelers. Additionally, the company will develop locally produced cells and battery packs for Piaggio’s upcoming 2-wheeler offerings.
Amara Raja Energy & Mobility Limited
Company Overview
Amara Raja Energy & Mobility Ltd is a leading manufacturer of lead-acid batteries for industrial and automotive use. The company produces automotive batteries and home inverter batteries under the Amaron and PowerZone brands. The company’s market cap stands at ₹27,433.67 crore, and the current share price is ₹1,505.80.
Stock Performance
Share Price and Returns
The 52-week low of the company’s stock is ₹599, and the 52-week high is ₹1,775.95. Over the last five years, the company has delivered a return of 139.97%, 106.67% over three years, 141.14% over one year, and 77.99% over six months.
Amara Raja’s New Initiatives
Sustainable Employment Opportunities
The Giga Corridor not only aims to boost technological advancements but also create sustainable and non-migratory employment opportunities for local youth. The company aims to achieve a battery pack capacity of 5GWh and 16GWh cell manufacturing by 2031.
Research and Innovation Center
The company is developing the first-of-its-kind Advanced Energy Research and Innovation Center in Hyderabad, known as ePositive Energy Labs. This center will serve as a significant milestone for the company and play a crucial role in meeting future energy needs.
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FAQs
Where is Amara Raja’s new battery pack plant located?
The new battery pack plant is located in Mahbubnagar district, Telangana.
What is the total capacity of the plant?
The total capacity of the plant is 5GW.
Who has the company partnered with?
The company has partnered with Piaggio.
How much investment is being made for the establishment of the Giga Corridor?
An investment of ₹9,500 crore is being made for the Giga Corridor.
What is the current share price of the company?
The current share price is ₹1,505.80.
What is the market cap of the company?
The market cap is ₹27,433.67 crore.
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