The contours of the funding have not been finalised but it is likely to be in the form of credit to the company the terms of which will be benchmarked against its financial performance, they said.
The funding discussions are taking place in the context of a recent tender that the company won for supply of 1,390 electric buses to state road transport undertakings across the country in March. The tender was floated by the government-backed Convergence Energy Services (CESL). The order value is INR 7,500 crore.
JBM Ecolife Mobility has a tie-up with Poland's Solaris Bus & Coach for manufacturing electric buses. The company is part of JBM Auto which is a components supplier to the automobile industry.
JBM Ecolife Mobility, CPP and ADB declined to comment when contacted. JBM Auto recently took board approval for raising up to INR 1,000 crore by issuing securities as per information provided to stock exchanges on July 31.
Electric bus operators are being encouraged by government subsidies under the Faster Adoption & Manufacturing of Electric Vehicles (FAME) in India scheme. The PM E-bus Sewa Scheme, which has a target to deploy 10,000 electric buses, is one of the schemes in which the government is subsidizing state transport undertakings for faster adoption of electric buses.
Major operators of e-buses include Eversource-backed Greencell Mobility and PMI Mobility apart from JBM Ecolife. Tata and Adani have also bid for tenders floated by CESL.
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