L&T Finance announced on Friday its collaboration with electric vehicle (EV) manufacturer Ather Energy to offer up to 100 per cent financing based on the loan-to-value (LTV) of the vehicles provided by Ather. The loan amount to be financed will be calculated on an on-road price basis and will vary according to the customer’s credit profile.
Under this partnership, L&T Finance will facilitate up to 100% financing of the loan-to-value of Ather Energy’s electric vehicles (EVs) for its customers. The loan amount will be based on the on-road price, encompassing the ex-showroom cost, regional transport office (RTO) charges, and vehicle insurance, and will be determined according to the customer’s credit profile.
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Sanjay Garyali, Chief Executive – Urban Finance, L&T Finance, said, “For the Indian two-wheeler segment, we expect strong growth across the industry. This growth is expected to be fuelled by improved purchasing power, increased dependence on personal mobility for millennials, and shifting preference towards vehicles powered by technology and artificial intelligence.”
Ravneet Phokela, Chief Business Officer, Ather Energy said, “Ather has since inception, focused on building strong partnerships with banks, NBFCs, etc to introduce lucrative EV financing for our users. Today, more than 50% of Ather’s customers opt for vehicle financing as their preferred mode of purchasing our scooters.”
Conclusion
In summary, the partnership between L&T Finance and Ather Energy serves as a prime example of how strategic collaborations can revolutionize EV financing. This game-changing partnership not only benefits customers but also sets a precedent for the future of the electric vehicle industry. As the demand for electric vehicles continues to rise, it is essential for stakeholders to embrace strategic partnerships and drive innovation to build a sustainable and accessible future for EV financing.
