Greaves Electric Converts ₹94.85 Crore Loan to Equity in Bestway Agencies

Greaves Electric Mobility Limited (GEML), a material subsidiary of Greaves Cotton Limited, has announced a strategic financial move by converting a loan amounting to ₹94.85 crore into equity shares of Bestway Agencies Private Limited (BAPL).

This conversion reinforces GEML’s position in the electric mobility sector and strengthens the financial foundation of BAPL, which remains a wholly owned subsidiary of GEML post-transaction.

About the Transaction

The loan-to-equity conversion, completed on June 4, 2025, involved no cash outflow and aimed to enhance BAPL’s net worth by reducing its debt obligations. BAPL allotted equity shares to GEML in exchange for the converted loan amount. Since BAPL is a wholly owned subsidiary, the move qualifies as a related party transaction. However, except for the holding structure, there is no direct promoter or group company interest involved.

Profile of Bestway Agencies Private Limited

Incorporated on January 15, 2004, Bestway Agencies Private Limited operates in the electric mobility space. The company manufactures and supplies ELE brand E-Rickshaw and E-3Wheeler parts. BAPL is an important player in Greaves Electric Mobility’s ecosystem, supporting the group’s electric vehicle (EV) strategy with components essential to its EV lineup.

Turnover History:

• FY 2024–25: ₹72.01 crore
• FY 2023–24: ₹95.07 crore
• FY 2022–23: ₹69.94 crore

The fluctuation in revenue reflects the evolving dynamics of the EV market and demand trends.

Strategic Impact

This capital restructuring not only improves BAPL’s financial leverage but also aligns with Greaves Cotton’s broader push toward sustainable mobility. With the electric vehicle segment gaining momentum in India, particularly in the affordable and last-mile transport categories, reinforcing subsidiaries like BAPL is a key move for long-term competitiveness.

Also Read: Greaves Cotton Enters Battery Swapping: Signed Partnership WithIndofast!

Conclusion

By converting debt into equity, Greaves Electric Mobility has reaffirmed its long-term commitment to the electric mobility space. This strategic investment will help BAPL improve its balance sheet, reduce financial stress, and continue contributing to the group’s ESG and clean energy goals.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.