DG Innovate plc (LON: DGI), the advanced research and development company developing pioneering solutions in sustainable mobility and energy storage, has announced that it has signed a Joint Venture Agreement with EVage Automotive Pvt. Limited, an Indian electric vehicle maker and automotive technology company, to manufacture and supply a range of DG Innovate’s Pareta® e-drives. This follows on from the Company’s announcement on 28 March 2024 that the Parties had entered into a Memorandum of Understanding.
Completion of the JVA is subject, inter alia, to incorporation of the joint venture company and execution of ancillary documentation. This is expected to be concluded over the next few weeks. On completion of the JVA, DGI and EVage will respectively own 60% and 40% of the joint venture company (the “JV”), which will be named Pareta® India.
DGI will provide the designs for a range of electric motors and licence the associated technology and related intellectual property to the JV, while EVage in turn will lease premises to the JV in Chandigarh, Punjab, and oversee day to day manufacturing activities. The JV will manufacture a range of electric motors for e-mobility customers, including EVage and third parties both in India and overseas. DGI will charge the JV a licence fee for each electric motor sold to EVage or third-party customers within India. The JV will also sell electric motors to DGI for sale into the international market.
