Anand Mahindra gratified as M&M becomes 11th most valued automaker

Mahindra Group chairman Anand Mahindra took to microblogging platform X to express his gratification after Mahindra & Mahindra was ranked 11th most valuable automaker globally in terms of market cap.

“In 1991, when the Indian economy opened up, the world believed there were scant chances of our survival as an independent automaker. We sought out Stellantis (Peugeot—for engine knowhow) Ford and Renault for knowledge on how to build modern cars. And we are grateful for their partnerships. So I have to admit to a tinge of gratification at seeing this ranking,” Mahindra says in a post on X.

The industry veteran, however, added that such lists are a roller coaster and the company has to battle every day to survive and thrive. “We understand that such lists are a roller coaster and that we have to battle every day to survive and thrive. And we know that customer-centricity is the key to staying relevant. We will continue doing our best to make India proud,” he wrote.

Shares of Mahindra have risen 80% in 2024. M&M overtook Tata Motors to become India’s third-largest carmaker in November in terms of retail sales. It also bucked the industry-wide trend of de-growth in passenger vehicle wholesales during the second quarter of the ongoing financial year. M&M is expecting mid-to-high teens volume growth this fiscal.

In November, the automaker unveiled two new “born-electric” cars, the BE 6 and the XEV 9e, at prices starting from ₹18.9 lakh (ex-showroom) and ₹21.9 lakh, respectively. Deliveries of these electric SUVs will begin by the end of February 2025 or early March next year. M&M is setting up a production capacity of 90,000 units annually for its new EVs. It has allocated ₹4,500 crore to develop these two battery electric vehicles. This investment includes the development of the new INGLO platform, powertrain, software and technology.

To ramp up its electric vehicle portfolio, M&M plans to invest ₹12,000 crore on EVs in three years till 2026-27. It expects electric SUVs to account for at least 20-30% of total sales by that time.

The company is looking to attract non-Mahindra buyers with its BE brand. “BE 6e will open up a new customer base, including those who haven’t yet considered Mahindra,” said Rajesh Jejurikar, executive director and CEO (Auto and Farm Sector), M&M.