On August 12, Amara Raja Energy & Mobility’s share price increased by 3 percent in early trading following the announcement of a new partnership. By 9:36 AM, the company’s shares were trading at ₹1553.05, up ₹49.95, or 3.32 percent, on the BSE.
Amara Raja Advanced Cell Technologies (ARACT), a wholly owned subsidiary of Amara Raja Energy & Mobility (ARE&M), has signed a Memorandum of Understanding (MoU) with Piaggio Vehicles, the Indian subsidiary of the Italian automotive group Piaggio. This collaboration will focus on developing and supplying LFP (Lithium Iron Phosphate) lithium-ion cells and chargers for Piaggio’s electric vehicles. The partnership will also involve creating cells and battery packs for Piaggio’s future offerings, to be manufactured at Amara Raja’s Gigafactory in Divitipally, Telangana.
Since 2020, Amara Raja and Piaggio India have been working together to advance the transportation sector. To date, Amara Raja has produced and delivered 50,000 NMC lithium-ion battery packs and EV chargers to Piaggio India, which have collectively accumulated over 120 crore kilometers.
Additionally, Amara Raja has recently inaugurated its battery pack plant in Divitipally, Mahabubnagar district, Telangana. This new facility will produce lithium-ion battery packs for major EV OEMs and for stationary energy storage applications.
For the first quarter ending June 30, 2024, Amara Raja Energy & Mobility reported a 25.6 percent increase in consolidated profit after tax, reaching ₹249.12 crore, compared to ₹198.31 crore for the same quarter the previous year. The company’s consolidated revenue from operations for April-June 2024 rose by 16.70 percent to ₹3,263.05 crore, up from ₹2,796.27 crore in the corresponding period last year.
Earlier this month, on August 1, the company also signed an agreement with Ather Energy to develop and supply Nickel Manganese Cobalt (NMC) and Lithium Iron Phosphate (LFP) lithium-ion cells for electric two-wheeler batteries.
