Majority Stake in EV Startup Lithium Urban Technologies acquired by EverSource Capital

• ByStartupStory     |    March 23, 2022

The manager of India’s largest climate impact funds, EverSource Capital, announced an investment in order to acquire a majority stake in the Bengaluru-based electric vehicle (EV) startup Lithium Urban Technologies. 

It is expected to be more than $50 Mn, though both EverSource and Lithium did not disclose the deal value, sources said. The EV startup said that Lithium with the deal is set to become EverSource’s core platform for providing B2B e-mobility solutions across passenger and freight segments. 

In enhancing the technology platform, expanding vehicle fleet, developing new vehicle platforms and rapidly expanding its pan-India charging infrastructure, the fresh funds would primarily be invested.

In order to build Lithium into a ‘rapidly scalable, world-class business’ that can generate superior financial returns has been aimed by the startup, said CEO of EverSource, Dhanpal Jhaveri.

Jhaveri further added that with their other platform they also foresee a huge synergistic benefit, GreenCell Mobility, regarding co-development of new application-specific electric vehicles, rolling out and cross utilisation of charging and energy infrastructure.

Plans to invest over $1 Bn in renewable energy investments through its green growth equity fund (GGEF) in 2019 has been laid out by EverSource Capital, a product of British multinational oil and gas company BP’s joint venture with private equity firm Everstone Capital.

Notably, India’s national investments and infrastructure fund (NIIF) and the UK government are the anchor investors in the GGEF.

Just a few months after the company announced closing the GGEF at $741 Mn in January this year, EverSource’s investment in Lithium came in.

EverSource’s portfolio also includes Ayana Renewable Power, Kathari Water Management, GreenCell Mobility, EverEnviro Resource Management, and Radiance Renewables, as per the company website.

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