JSW Group likely to seal deal with MG Motors India for EV manufacturing in India: Report

MG Motor India is a wholly-owned subsidiary of SAIC Motor, headquartered in China’s Shanghai.

According to a CNBC-TV18 report, an official announcement regarding this transaction is anticipated by Diwali.

This development underscores the growing interest and investments in the Indian electric vehicle sector and the shift towards sustainable and environmentally friendly transportation solutions.

The $23-billion industrial conglomerate, led by Sajjan Jindal, has shown substantial interest in advancing the localization of electric vehicles (EVs) in India, the sources noted.

The objective is to introduce EVs through the new corporate partnership by January 2024, aligning with the broader trend of promoting local production and adoption of EVs, contributing to sustainability and emission reduction.

The proposed deal is expected to unfold in multiple stages.

JSW Group is likely to have entered into a Memorandum of Understanding (MoU) to acquire around 35 percent stake in MG Motor India.

This acquisition is a pivotal aspect of JSW's strategy to establish a robust presence in the Indian EV sector, emphasizing strong localization efforts, as per the CNBC-TV18 report.

Sources familiar with the cross-border deal suggest that the valuation of MG's local business could potentially reach $1 billion.