Amara Raja Energy & Mobility Limited has announced plans to incorporate a wholly owned subsidiary in the United States, marking a significant step in the company's global expansion strategy. The Board of Directors approved the move at a meeting held on February 11, 2026.
The new entity, to be named "ARE&M US Inc" or an alternative name subject to regulatory approval, will focus on battery and components distribution. The company has committed to investing up to $5 million in equity, loans, or other securities over one or more tranches.
According to regulatory filings with the National Stock Exchange of India and BSE Limited, the subsidiary is expected to be incorporated within three to six months. The investment aims to enhance customer service capabilities through faster response times, local presence, and efficient delivery mechanisms.
The company outlined three primary objectives for the US subsidiary: improving customer service through local operations, enabling closer customer engagement to identify new business opportunities, and establishing a foothold to evaluate future localization options, including potential manufacturing or assembly facilities.
Amara Raja Energy & Mobility Limited, formerly known as Amara Raja Batteries Limited, will subscribe to 100% of the proposed entity's share capital at face value in accordance with US regulations. No specific governmental approvals are required beyond routine filings and compliance procedures for an Indian entity establishing a subsidiary in the United States.
The disclosure was made in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company confirmed that while the subsidiary will be a related party once incorporated, promoters and directors have no additional interest in the transaction beyond what has been disclosed.
The move represents Amara Raja's strategic push to strengthen its presence in international markets within the energy and mobility sector.