Solar EPC Company Gensol to Acquire Majority Stake in US-based EV Startup

The company plans to manufacture 12,000 electric cars annually


Solar engineering, procurement, and construction (EPC) company Gensol signed a term sheet to acquire a majority stake in a U.S.-based electric vehicle (EV) manufacturing startup.

Through the deal, Gensol is foreseeing growth in revenue by ₹5-₹6 billion (~$63-~$75 million). The company said that the domestically produced ‘Make in India’ vehicles under the deal would deliver a cruising range of around 200 km per charge and can be fully charged in just 2 hours.

Gensol targets setting up a research and development center for technology development and starting production in Pune in the first quarter of the next financial year. The company will have the capacity to manufacture 12,000 cars annually in the first phase.

Gensol is also planning to recruit over 150 automobile engineers and designers for operations of the Pune venture. The company is also eyeing an investment of $9 billion in the Indian EV hatchback market.

Gensol’s Managing Director Anmol Singh Jaggi said, “Hatchbacks form 46% of the cars sold in India and the total market size of EV hatchbacks is $9 billion. The Indian EV car segment is set to grow at 105% till 2030 reaching 2 million annual sales volume. We propose investing in this US-based EV startup with a positive outlook to serve India’s need for affordable and efficient EVs.”

Gensol aims to channel the Indian EV market with well-equipped technology while serving various customers’ mobility needs with varying designs. The company has a portfolio of over 350 MW of ground-mounted and rooftop solar installation.

Earlier this year, Gensol Engineering procured purchase orders valuing ₹4.85 billion to develop 15 MW of grid-connected ground-mount and solar rooftop solar systems.

In March this year, the EPC company received a loan of ₹2.67 billion (~$34.68 million) from a  leading financial institution in India to expand its EV business.