Varroc Engineering and France-based Forsee Power plan to form a joint venture in India to develop and supply battery-pack solutions for electric vehicles. The proposed partnership will initially focus on electric three-wheelers, with plans to expand into two-wheelers, light commercial vehicles, buses, trucks, off-highway vehicles and industrial applications.
As part of the arrangement, Varroc will acquire a 45% equity stake in Forsee Power India, the French company's Indian subsidiary focused on battery-pack systems. Varroc will also assume management and operational control of the entity and subscribe to optionally convertible redeemable preference shares (OCRPS) to support the joint venture.
The proposed venture is subject to applicable regulatory and corporate approvals.
Joint Venture To Initially Target Electric Three-Wheelers
The companies plan to combine Forsee Power India's battery-pack technology and systems expertise with Varroc's automotive engineering capabilities, manufacturing operations and established relationships with original equipment manufacturers (OEMs).
The initial focus on electric three-wheelers is expected to be followed by battery-pack solutions for a broader range of vehicle categories, including two-wheelers, commercial vehicles and industrial applications. The companies intend to develop systems suited to different vehicle architectures and operating conditions.
Arjun Jain, whole-time director and CEO – Business I at Varroc, said the partnership would expand the company's electric mobility portfolio and increase its potential content per electric vehicle across segments.
Forsee Power chairman and CEO Christophe Gurtner said the partnership would combine the company's battery technology with Varroc's local manufacturing capabilities and customer access, with three-wheelers serving as the initial market.
Varroc To Combine Automotive Engineering With Battery Technology
Forsee Power specialises in battery systems for commercial and industrial electric vehicles, including light vehicles, buses, trucks and off-highway applications. Its portfolio includes battery-system design, assembly, energy management, installation, commissioning and maintenance.
Varroc supplies automotive components and systems across two-wheelers, three-wheelers, passenger vehicles, commercial vehicles and off-highway vehicles. Its product portfolio includes electric mobility solutions, lighting, body systems, human-machine interface solutions, internal combustion engine powertrain components and advanced electronics.
The joint venture is intended to use these capabilities to develop battery packs for multiple vehicle applications as demand for electric mobility solutions expands in India.