Tube Investments of India (TII), Chennai-based Murugappa Group, is targeting to scale-up its electric vehicle (EV) and medical businesses while planning a capital expenditure of ₹300-350 crore in its core operations and another ₹300 crore investment in subsidiaries during FY27, said Managing Director Mukesh Ahuja.
The company said it is witnessing strong demand for its electric commercial vehicles, particularly in the heavy truck and small commercial vehicle segments, though deployment is being constrained by financing and charging infrastructure bottlenecks, he told analysts while discussing the company’s Q4 financial results.
For FY27, TII expects capex of ₹300-350 crore in its standalone businesses, while investments into subsidiaries, including TI Clean Mobility and TI Medical, could total another ₹300 crore, he said.
Expansion plans
On TI medical devices, Ahuja said, this business is expected grow 15-20 per cent annually, aided by expansion in wound care and entry into IV cannula manufacturing through an asset purchase in Ambala.
TII recently acquired assets of Medicura’s IV cannula facility in Ambala at an “attractive price” and expects plant approvals and team ramp-up to be completed in Q1 FY27, with commercial production likely from Q2 FY27, he said.
Jalaj Gupta, MD, at TI Clean Mobility, said “We are sitting on a very good order book for the big trucks,” said said during the company’s post-results investor call. However, deployment challenges stem mainly from financing requirements and the need to establish charging infrastructure along routes, he added.
Advances in higher-capacity batteries and fast-charging technology are shifting industry preference away from battery swapping for long-haul electric trucks, although swapping could continue in applications such as ports, he said.
TI Clean Mobility retained leadership in the electric truck segment with about 28 per cent market share despite rising competition, said Gupta. The company’s electric truck platform was also the first in the country to be certified under the PM E-Drive localisation scheme.
3W business
On the three-wheeler business, Gupta said production was hit in the March quarter after it took over a body-in-white supplier facility to resolve supply bottlenecks. The issue has now largely been addressed and production is expected to normalise by the end of the June quarter.
The company also outlined expansion plans in medical devices. Tube Investments recently completed the acquisition of assets of an IV cannula facility at Ambala and expects commercial production to begin in the second quarter after regulatory approvals. Management said it remains confident of delivering 15-20 per cent annual growth in the medical business.
In the contract development and manufacturing (CDMO) business, the company said the Naidupeta facility is in the final stages of commissioning and commercial production is expected to begin next quarter.