Jupiter Wagons Ltd, a mobility solutions provider, is set to invest around ₹1,000 crore over the next 18 months. The investment aims to enhance wagon manufacturing capacity, operationalize the recently acquired Stone India, and mark the company’s foray into the commercial electric vehicle (EV) sector. The funds will also support backward integration initiatives, including the production of railway wheel sets and the expansion of braking system and foundry operations.
Managing Director Vivek Lohia revealed in an interview that the investment would position Jupiter Wagons as a 1,000-car (wagons) per month manufacturing company by FY25, up from the current capacity of 700 wagons per month. The expansion aligns with the surge in orders from the Railways, driven by the national transporter’s plan to secure about 100,000 wagons over three years.
To facilitate the expansion, Jupiter Wagons plans to launch a ₹700 crore qualified institution placement (QIP) before the end of the current fiscal year. This QIP will supplement the funds raised in May through a ₹125 crore QIP, which was utilized for acquiring engineering firm Stone India and modernizing and expanding wagon-making capacity.
The expansion strategy involves strengthening foundry operations in West Bengal and establishing a new foundry in Madhya Pradesh. With a current market share of 25-30% in the wagon market, Jupiter Wagons aims to retain and expand its dominance, especially in the private business sector.
Additionally, the company is venturing into the EV domain through its arm, Jupiter Electric Mobility (JEM). Lohia anticipates ARAI certification for the commercial EV by December or January, with the first commercial rollout expected in March or April of 2025. The initial launch will feature a vehicle with a 1-tonne payload, followed by subsequent models with 2-tonne and 3-tonne payload capacities.
Jupiter Wagons has forged a strategic alliance with North America-based GreenPower Motor Company, specializing in commercial electric vehicles. The ambitious investment plan reflects the company’s commitment to evolving with industry dynamics and contributing to the changing landscape of mobility solutions.
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