KKR Eyes $400M Investment in JSW MG Motor, Says Report

Could fresh capital accelerate India’s EV race? KKR is reportedly negotiating a $400 million investment in JSW MG Motor India at a $3 billion valuation.

US private equity firm KKR is in discussions to invest up to $400 million in JSW MG Motor India, in a deal that could value the electric vehicle (EV) manufacturer at around $3 billion, according to an exclusive report by The Economic Times.

The proposed investment would comprise a mix of primary capital to support the company’s expansion plans and a secondary share purchase from Chinese automaker SAIC Motor, which currently holds the largest stake in the joint venture.

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If completed, the transaction would mark the first external equity fundraising by JSW MG Motor India since the joint venture between the JSW Group and SAIC-owned MG Motor India was established in 2024.

The reported valuation represents a doubling of the company’s worth in just over two years. The development comes as demand for electric passenger vehicles in India continues to grow, supported by increasing consumer adoption and expanding product offerings.

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According to ET, JSW MG Motor India is currently the country’s third-largest electric passenger vehicle manufacturer after Tata Motors and Mahindra & Mahindra. The joint venture was formed through a $1.5 billion agreement between the JSW Group and SAIC, with a planned capital expenditure of ₹37 billion.

Under the existing shareholding structure, SAIC Motor owns 49% of the venture, while the JSW Group holds 35%. Indian employees and dealers together own 8%, with another 8% held by Indian financial institutions. Depending on the structure of the proposed transaction, JSW could emerge as the single-largest shareholder in the company.

The automaker has also recorded strong revenue growth despite remaining loss-making. Revenue increased from ₹79 billion in FY24 to ₹87.8 billion in FY25, while net losses widened from ₹5.86 billion to ₹10.96 billion over the same period.

Industry data indicates continued momentum in India’s alternative-fuel vehicle market. Sales of electric, hybrid and CNG passenger vehicles rose by 31% during FY26, while electric vehicles accounted for 6.6% of the passenger vehicle market in May, with 26,682 units sold, according to the Federation of Automobile Dealers Associations (FADA).

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Shubha Mitra
Shubha Mitra
Shubha Mitra is an Assistant Editor at EFY, keenly interested in policies and developments shaping the electronics business.

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