The iconic Ambassador was one of the most popular cars in the country. The vehicle is no more on sale; however, Hindustan Motors is reportedly planning to make a comeback by entering the electric vehicles segment.
The Indian auto industry is changing rapidly and automakers are looking to introduce electric vehicles. Hindustan Motors is looking to revive its business by joining hands with a European auto company from the EV industry. While details about the company are yet to be revealed, Hindustan Motors has signed a memorandum of understanding (MoU) with the European EV maker.
The two makers are currently discussing the equity structure. In the current proposed structure, Hindustan Motors will hold 51% of the stake and the European brand will own the remaining 49%.
Not just electric cars, the JV will also focus on electric two-wheelers. In fact, the first product from the company will be an electric scooter. Electric Scooters or Bikes have received positive response from buyers. Electric two wheeler sales are at all time high and constantly rising.
The electric vehicles will be initially manufactured at the Hindustan Motors’ Uttarpara plant in West Bengal. This facility was operational till 2014. The company will utilise the 295 acres space that it holds in Uttarpara. The JV will invest around Rs 600 crore and final details will be revealed in near future.
