Atul Auto shares jump 10% after MoU to supply 15,000 electric three-wheelers for nearly ₹500 crore

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Shares of Atul Auto Ltd. gained nearly 10% on Friday, April 24, after the company said it has inked a memorandum of understanding (MoU) with Exponent Energy Pvt. Ltd. to manufacture and supply 15,000 electric three-wheelers integrated with the latter’s battery system and powertrain.

The size of the contract is ₹490.5 crore with the Exponent Enabled Vehicles coming at a price of around ₹3.27 lakh per unit.

This contract will be executed over a three-year period, extendable by an additional grace period of six months, from the date of state transport authority approvals, the company said.

Atul Auto will act as the original equipment manufacturer (OEM) for the electric three-wheelers integrated with Exponent’s battery system and powertrain. The collaboration includes manufacturing, supply, servicing and customer support of electric three-wheelers, it said.

The vehicles will deliver 15-minute rapid charging and a battery life warranted for up to 2 lakh km. Atul Auto will be responsible for all vehicle-level manufacturing, including integration of Exponent’s battery system and powertrain, quality control end-of-line testing and delivery of the fully built vehicles to Exponent, it said.

Shares of Atul Auto are trading 9% higher on Friday at ₹513.4. The stock has risen 25% in the last one month. The stock is trading close to its 52-week high of ₹554.



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