TVS Motor to buy further stake in DriveX for ₹98 cr

BL Chennai Bureau Updated - November 29, 2024 at 08:22 PM.

Will increase its total ownership in the company to 87.38 per cent

Sudarshan Venu, Managing Director of TVS Motor,

TVS Motor Company, a leading manufacturer of two- and three-wheelers, announced that it will acquire an additional 39.11 per cent stake in DriveX Mobility Pvt Ltd for ₹97.79 crore, increasing its total ownership in the company to 87.38 per cent.

The acquisition will be carried out by purchasing 7,914 equity shares, each with a face value of ₹10, from existing shareholders. Once the transaction is completed, DriveX will become a subsidiary of TVS Motor, as per the company’s filing with the stock exchanges.

Currently, TVS Motor holds 48.27 per cent of the paid-up share capital of DriveX, a company involved in leasing two-wheeler motorcycles and scooters, as well as trading and distributing pre-owned motorcycles and scooters.

DriveX, headquartered in Coimbatore and founded in April 2020, reported a revenue of ₹34 crore and a loss after tax of ₹31 crore for FY24, compared to a revenue of ₹6 crore in FY23. The company’s net worth stood at ₹43 crore in FY24.

Published on November 29, 2024 14:33

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