Mint reported that TVS Motors is in advanced talks to raise Rs 4,000-5,000 crore from private equity firms to fund the expansion of the group’s new electric vehicle division.

The two-wheeler company aims to build “sustained dominance” in the electric vehicle (EV) space by leveraging various government initiatives, such as the Production-Linked Incentive (PLI) scheme.

According to its 2021-22 annual report, the company has strong plans to expand its business in the power sector. According to Mint, TVS seeks to increase the revenue share of its electric vehicle business to capitalize on the growing global demand for electric vehicles.

The company has built a vertical for electric vehicles and employs more than 600 engineers. TVS’s latest financing plan also aims to expand its partnership with BMW Motorrad to jointly develop new platforms and future technologies, including electric vehicles. The company has a 19% market share in the high-speed electric scooter segment and sold over 10,000 electric vehicles in FY22.

According to Mint, the company has partnered with Tata Power and Jio-BP to build an electric vehicle charging infrastructure. Through fundraising, TVS can create new EV and battery manufacturing facilities through the proceeds.