Reva Electric Car Company seems to be attracting more than one suitor! After striking an alliance with General Motors to provide technology, Reva is learnt to be in talks with utility vehicle major Mahindra & Mahindra for an equity partnership.
According to sources, two of the stakeholders in Reva Electric Car Company – US based Global Environment Fund and Draper Fisher Jurvetson may exit by selling their stake to M&M. When contacted, both M&M and Reva Electric Car Company refused to comment on the "speculation" of M&M buying a stake in the Reva Electric Car Company.
Autocar India is yet to receive responses from Global Environment Fund and Draper Fisher Jurvetson. Both these companies had invested 10million dollars each in the Bangalore based Reva car manufacturer. Going by M&M's acquisition strategy, the Mumbai based company will pick up at least a 51% stake, if the deal takes place.
The move will boost M&M's capabilities in developing alternate propulsion technologies. Reva Electric Car Company is currently busy preparing for its next model, trial production of which will start by end of this year.