Uno Minda Limited is acquiring the remaining 49.9% stake in its electric vehicle systems subsidiary, UnoMinda EV Systems Pvt Ltd (UMEV), from its joint venture partner FRIWO Geratebau GmbH. This move includes acquiring intellectual property rights, know-how, and the R&D team related to e-drive technologies. The transaction, valued at approximately INR 195 crore, is expected to be completed by the end of the first quarter of fiscal year 2026.

Potential export opportunities

Uno Minda, a global Tier-1 supplier of automotive systems, initially established UMEV as a joint venture with FRIWO in December 2021. The company aims to capitalize on the growing electric vehicle market, particularly in the two-wheeler segment. The acquisition of e-drive technologies strengthens Uno Minda's capabilities and opens potential export opportunities.

UMEV full ownership procedure

Uno Minda will gain full ownership of UMEV, increasing its stake from 50.10% to 100%. The acquisition includes not just equity but also crucial e-drive technologies for two and three-wheeler electric vehicles. This encompasses intellectual property rights, practical knowledge, and the research and development team associated with these technologies, including essential control hardware and software. These assets will be transferred from FRIWO's locations in Germany and Vietnam.

A play with advanced technologies

The e-drive technologies acquired in this transaction are central to electric powertrain solutions. These solutions are designed specifically for electric two and three-wheeler vehicles, a rapidly growing segment in the Indian automotive market. The acquisition allows Uno Minda to integrate these technologies into its existing operations, expanding its product portfolio and strengthening its presence in the EV sector.

Nirmal K Minda, CMD, Uno Minda Group stated, “We are extremely grateful to FRIWO for their partnership and valuable contributions to the success of UMEV over the years. With the acquisition of the remaining stake and the integration of e-Drive technologies, we are confident that UMEV will further strengthen its position as a leader in the Indian EV systems market. We see immense growth potential in the Indian electric vehicle market, particularly in the two-wheeler segment, and this acquisition will enable us to capitalize on this opportunity and explore new avenues for growth.”

UMEV has already established itself as a key player in the EV components market. It manufactures a range of essential components, including on-board chargers, off-board chargers, battery management systems, motor control units, and vehicle control units. UMEV's strong order book indicates its potential for future growth in this expanding market.