Indian auto supplier Motherson partners with Ree
Motherson is investing 15 million dollars in Ree Automotive as part of a financing round totalling 45 million dollars. The other money comes from the main investor M&G Investment and Varana Capital, among others.
With an annual turnover of 17.2 billion dollars, Motherson is one of the largest automotive suppliers in the world. As part of the agreement, Motherson will oversee supply chain management and utilise manufacturing capabilities for components, module integration, Ree Corner module construction and platform assembly to support the entire vehicle production process, including the assembly of Ree’s P7 electric vans in the US.
Ree Automotive presented the P7-B model two years ago. It has a total weight of 6.4 tonnes with a payload of two tonnes. It delivers up to 400 kW and offers a range of 240 kilometres. The high peak performance for a van is due to the concept of the drive modules: The Ree Corner modules contain all the important components from the chassis and steering to the power electronics and the 100 kW electric motor. As one such module is installed in each corner of the P7-B, the van has four 100 kW motors. As each module has its own steering system, the van has all-wheel steering and a turning radius of just six metres.
By working with Motherson, Ree says it can focus on further expanding its customer base, acquiring orders, increasing gross and cash flow margins and expanding its patent portfolio.
Laksh Vaaman Sehgal, Vice Chairman of Motherson Group, said: “We are pleased to announce our long-term agreement with REE to accelerate its industrialization within a mutually beneficial commercial framework. We have been truly impressed by REE’s remarkable technology, exceptional product offerings, and robust team. We look forward to facilitating REE’s growth and technological advancement by expertly managing its supply chain and utilizing our world-class engineering and manufacturing capabilities to drive commercialization and industrialization. We also want to strengthen REE’s integration into the automotive ecosystem by delivering unparalleled customer support across the value chain. We believe that this strategic partnership will contribute towards Motherson’s diversification and increasing content per vehicle strategy.”
Daniel Barel, co-founder and CEO of Ree, said: “We are very excited to enter into this agreement with Motherson, as I believe this agreement will enable us to leapfrog over many of the challenges others face when ramping up production. Motherson’s global footprint and manufacturing prowess combines perfectly with REE’s technology and innovation mindset. This combination will benefit our customers and investors alike, by pushing forward the transition towards electrification and carbon neutrality. We are proud to join forces with Motherson and looking forward to learning from their incredible story and amazing culture.”
0 Comments