Axis Bank, one of the largest private sector banks in India, in partnership with GuarantCo, part of the Private Infrastructure Development Group (PIDG), has extended an INR 1 billion (around USD 12 million) guarantee to Muthoot Capital, one of India's fastest-growing NBFCs in India. This will empower the NBFC to lend to on-lend customers in rural and non-metro regions in India, for purchasing electric two-wheelers.

GuarantCo has provided a 65 percent on-demand credit guarantee to Axis Bank for this transaction, which is part of a broader USD 200 million electric vehicle (EV) framework agreement signed by GuarantCo and Axis Bank. This framework was established to enable mobilisation of funds between USD 300 and 400 million for financing the e-mobility ecosystem in India.

This collaboration with Muthoot Capital will focus specifically on providing transport solutions to rural and non-metro regions that predominantly consist of lower-income populations that have historically been underserved. The transaction will benefit Indian companies operating within the EV ecosystem with over INR 800 million (around USD 10 million) and is expected to impact local businesses in the supply chain, such as equipment manufacturers, vehicle dealers and insurers.

The INR 1 billion EV transaction will increase electric two- and three-wheeler vehicle provision, contributing to SDG 9.4 (Upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies) and SDG 11.2 (Provide access to safe, affordable, accessible and sustainable transport systems for all).

This is GuarantCo and Axis Bank’s third transaction under the EV framework agreement. In December 2023, it had first enabled an INR 2.5 billion (around USD 30 million) loan to Vivriti Capital for supporting the company’s expansion strategy in the e-mobility ecosystem of India, and subsequently extended INR 1 billion (around USD 12 million) loan to Everest Fleet for the purchase of electric cars to be deployed as low pollution emitting taxis in India.

Rajiv Anand, Deputy MD, Axis Bank said: “Axis Bank stands committed to support and accelerate the growth of e-mobility industry in India. As one of the leading banks in the country, we are dedicated to driving initiatives that create positive environmental and social impact. By promoting the adoption of electric vehicles, we are working to reduce emissions, enhance air quality and provide affordable and accessible transport solutions nationwide. We have proactively scaled up our partnerships and engagements with EV dealers, manufacturers, and other players and will continue to do so. This collaboration not only supports the development of green infrastructure in India but also aligns with our broader vision of fostering an inclusive future where sustainable practices benefit all segments of society.’’

Mathews Markose, CEO, Muthoot Capital said: “Partnering with GuarantCo marks a significant step forward in accelerating the adoption of electric vehicles and advancing sustainable transport solutions in our country especially in the rural and semi-urban markets. This funding will enable MCSL to provide innovative and tailor-made financing options aimed at making electric vehicles more accessible and affordable to a wide range of consumers and businesses. We look forward to enabling the common man to own their own two-wheeler ensuring affordability and convenience. This will lend wings to our slated objective of growing our EV by 200 crores during FY2025.”

Layth Al-Falaki, CEO, GuarantCo said: “We are delighted to have closed the transaction with Muthoot Capital under the Electric Vehicle framework guarantee agreement that we signed with Axis Bank in May 2022.  This is the third transaction that we have closed under the agreement which after the ones that we closed with Vivriti Capital and Everest Fleet now total INR 4.5 billion (c. USD 54 million). This is also the first transaction under the framework which will cover the demand side of the EV business through the provision of credit so that customers can purchase electric vehicles.  In addition, the transaction is expected to have a market transformation effect that we hope that it will help catalyse deployment of more electric vehicles in India. GuarantCo, through the Private Infrastructure Development Group, will continue to utilise the climate mitigation guarantee with Axis Bank to further the e-mobility ecosystem in India and to deliver against our climate action aims aligned with the PIDG 2030 strategy.”

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Bengaluru-based electric vehicle maker Ather Energy has launched Konarc e-scooter line built on its EL platform, unveiled during the fourth edition of Ather Community Day 2026. The e-scooter will be available in six variants split between the S and Z product lines.

The Konarc lineup features Indian Driving Cycle range options spanning 100 km, 125 km, 161 km and 200 km across its S line variants, while the Z line includes 125 km and 161 km configurations.

Pricing for the model begins at INR 99,999 for the Konarc S 100 km variant, INR 121,999 for the Konarc S 125 km, and INR 144,999 for the Konarc S 161 km, effective ex-showroom Bengaluru. Bookings and phased deliveries for select variants begin in mid-September 2026.

The EV utilises a steel unibody chassis, metal rear side panels, a sequential gear-drive transmission, a 14-inch front alloy wheel, a 12-inch rear alloy wheel and a 1,352 mm wheelbase.

Tarun Mehta, Co-Founder and Chief Executive Officer, Ather Energy, said, “Konarc has been designed to make EVs mainstream in India. We have understood the needs of the vast majority of buyers who are still waiting to go electric and have engineered Konarc for them. Be it the metal panels, 200 km range, once-a-year service interval, fast home charging, or the plush and comfortable ride, we have pushed the envelope on every fundamental that matters to this buyer, without compromising on the premium experience and advanced technology that Ather is known for. Konarc has also been designed to scale, and with the vertical integration and manufacturing capacity we are building at AURIC, we can take the Ather experience to many more riders and markets across India.”

Just like its other product line, Ather Energy has ensured Konarc remains a power packed product in terms of both software and hardware features. It gets Advanced Electronic Braking System, which dynamically regulates braking force modulation between front and rear wheels via software. Additional functionalities comprise MagicKey keyless operation with proximity unlocking, AutoPop automated under-seat storage opening and AirWalk motor-assisted manual pushing.

Swapnil Jain, Co-Founder and Chief Technical Officer, Ather Energy, said, “Ather has spent over a decade building its technology and engineering capabilities. We started working on software-led braking, fast charging and connected scooter experiences well before they became expected in the market. That head start matters because it gives us the experience to integrate these technologies deeply into the vehicle and bring the engineering depth we have built over the years to a much larger set of riders. AeBS™, MagicKey, AutoPop and AirWalk are examples of that approach, each designed to make everyday riding more effortless.”

The vehicle carries an integrated onboard charger, with an optional 450W offboard unit enabling combined 900W charging. Ather has set the service interval at 10,000 km or one year, alongside introducing a 10-year or 100,000 km warranty for its fifth-generation Bedrock battery pack, guaranteeing a minimum 70 percent battery state of health.

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Bengaluru-based electric vehicle maker Ola Electric has launched the S1Z e-scooter line, introducing the company's indigenously developed 46 series Bharat Cell lithium iron phosphate (LFP) technology to the vehicle market.

The battery cells are developed at Ola’s Battery Innovation Centre and manufactured at the Ola Gigafactory.

The e-scooter is offered in two battery capacity options: a 3.1 kWh variant priced at an introductory INR 79,999 and a 5.1 kWh variant listed at INR 99,999 ex-showroom. The 3.1 kWh model has a claimed certified range of up to 179 kilometres, while the 5.1 kWh configuration provides up to 301 kilometres.

The S1Z runs on 12-inch wheels, operates on the MoveOS 5 software platform and includes features such as cruise control, regenerative braking, reverse mode, GPS tracking and over-the-air (OTA) updates.

It will also serve as the initial vehicle line distributed through Ola Electric's newly established dealer-operated store network alongside its direct-to-consumer locations. Deliveries for the 3.1 kWh model will begin in December 2026, followed by the 5.1 kWh model in March 2027.

Bhavish Aggarwal, Chairman and Managing Director, Ola Electric, said, "The true measure of innovation of our indigenous Bharat Cell LFP technology is how quickly it reaches everyday Indians. The S1Z delivers on that promise. It is the first scooter range to bring our made-in-India LFP technology to the heart of the market, where millions of customers make their mobility decisions. We believe affordability shouldn’t mean settling for less. As we continue building India's EV ecosystem from cell to vehicle, products like the S1Z will play a critical role in taking our mission of bringing EVs to every Indian household."

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Mumbai-headquartered automotive major Mahindra & Mahindra has expanded its Battery-as-a-Service (BaaS) programme across its complete Electric Origin SUV range, making the scheme available on the BE 6 Sporteq, XEV 9S and XEV 9e models.

The BaaS model was first introduced with the BE 6 SPORTEQ, which separates vehicle and battery financing through a dual-loan arrangement. Under the scheme, customers acquire the electric vehicle and finance the battery unit separately, lowering the upfront purchase price.

For the BE 6 Sporteq BaaS model, the pricing starts at INR 1.14 million, with battery financing calculated at an effective usage cost of INR 3.75 per kilometre based on daily mileage assumptions. Following the initial response, Mahindra extended the service across all trim levels of the BE 6 Sporteq while adding the program to its higher-tier SUV models.

Under the expanded scheme, entry pricing for the XEV 9S stands at INR 1.26 million, while the XEV 9e starts at INR 1.39 million. Both EVs share the battery financing rate of INR 3.75 rupees per kilometre.

The dual-loan financing product is provided through third-party financial institutions for personal vehicle registrations. The structure requires a battery loan EMI with total figures varying according to battery capacity, down payment, loan tenure and local taxes.

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New Delhi-based electric commercial vehicle manufacturer Omega Seiki Mobility has raised an additional INR 500 million in funding co-led by Abhishek Misra of SKG Asset Management and SKG Fund, alongside Unistone Capital, Sanjeev Agarwal Family Office and Brijesh Parekh Family Office.

The capital expansion follows a separate INR 500 million fundraise earlier in the month from Securocorp Securities, Sangeeta Pareekh, Saket Aggarwal Family Office and Vanshika Sharma.

Omega Seiki Mobility aims to utilise the capital towards increasing manufacturing capacity, research and development, dealer network expansion and the release of new vehicle models.

Uday Narang, Founder and Chairman, Omega Seiki Mobility, said, “This fundraise marks a significant milestone for Omega Seiki Mobility as we move into the next phase of our growth journey. The confidence shown by our investors strongly validates our vision, execution capabilities, and long-term strategy. Over the past eight years, we have built the company on a foundation of manufacturing excellence, innovation, and financial discipline. We remain focused on building scalable electric mobility solutions that create long-term value for our customers, partners, and investors.”

Omega Seiki Mobility plans to expand its operational footprint from 150 current touchpoints in India to 250 locations by FY2028, while evaluating international expansion into markets including Africa.

The expansion strategy involves broadening its vehicle portfolio beyond cargo three-wheelers into passenger mobility, electric two-wheelers and light commercial vehicles as it evaluates options for an initial public offering.

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