IFC Invests ₹300 Crores in Mahindra's Last Mile Mobility

Mahindra & Mahindra (M&M) has secured a substantial investment of ₹300 crore from the International Finance Corporation (IFC) for Mahindra Last Mile Mobility Limited (MLMML). The agreement includes the issuance of Compulsorily Convertible Preference Shares (CCPS) in MLMML. IFC's investment may reach up to ₹600 crore in multiple tranches, as per the terms and conditions outlined in the agreements.

Upon subscribing to CCPS, IFC will gain certain privileges, including the right to provide voting instructions to the Company for up to 11.8 percent of MLMML's paid-up equity capital until CCPS conversion.

On October 9, 2023, MLMML formally allocated 30,00,000 CCPS, each valued at ₹1,000, to IFC for a total of ₹300 crore. This arrangement gives IFC the authority to issue voting instructions to the Company, equivalent to 5.9 percent of MLMML's paid-up equity capital until CCPS conversion.

This development marks MLMML's transition from being a wholly-owned subsidiary of M&M to becoming a subsidiary of the Company as of October 9, 2023.