Shares of Mahindra and Mahindra (M&M) hit a 52-week high of Rs 1,864.65 on 16 February after the company announced signing an agreement with Volkswagen.

In its regulatory filing, the company said that they had signed the first supply agreement on components of Volkswagen’s MEB for the company’s purpose-built electric platform INGLO, which is a definitive step further their joint vision for e-mobility collaboration.

The filing added, “The deal covers the supply of certain electric components as well as unified cells. With the agreement, Volkswagen and Mahindra are further deepening their collaboration which started with a partnering agreement and a term sheet in 2022. Both companies will continue to evaluate a potential expansion of the collaboration.”

The concept of unified cells is the core element of Volkswagen’s battery strategy.

The company said that this supply deal will run over several years and will have a total volume of about 50 gigawatt-hours over a lifetime. The company is planning to launch five all-electric SUVs in India on the basis of its new, purpose-built electric platform INGLO, which will start in December 2024.

The company added that it will be the first external partner to use the groundbreaking unified cell concept, which is the core element of Volkswagen’s battery strategy.

At 3:20 pm, the shares of Mahindra and Mahindra were trading 4.10% higher at Rs 1,837.40 on NSE.