Amara Raja Shares Gain 4% on Hyundai Motors Partnership for Advanced Battery Technology

Amara Raja Energy & Mobility Limited shares surged by 4.4% on Friday, hitting an intraday high of ₹1,273.75 on the BSE. The rise followed the announcement of a strategic partnership with Hyundai Motor India Limited to integrate Amaron’s Made-in-India Absorbent Glass Mat (AGM) battery technology into Hyundai’s domestic vehicle lineup.

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The AGM batteries outperform conventional Complete Maintenance Free (CMF) batteries and are intended for Starting, Lighting, and Ignition (SLI) applications. According to durability testing, these AGM batteries perform 150% better than CMF batteries and have advantages including faster charging, longer lifespans, and increased efficiency. These characteristics make them especially appropriate for cars using Idle Stop and Go (ISG) systems, a technology that is becoming more and more popular because it can improve fuel efficiency.

Hyundai’s localization strategy, which sources over 1,200 components from more than 190 vendors in India, is also a key factor in this partnership. By reducing dependency on imports, this initiative is set to lower costs, create jobs, and shrink the carbon footprint, ultimately strengthening India’s automotive ecosystem.

The AGM batteries, extensively tested at Hyundai’s global R&D center in South Korea, are engineered to cater to Indian driving conditions, offering improved range, efficiency, and sustainability. Starting in Q4 FY 2024-25, Hyundai will begin using these batteries in its domestic lineup, making it the first automaker in India to adopt localized AGM battery technology.

A pioneer in the energy and mobility space, Amara Raja Energy & Mobility has been growing its presence in a number of sectors, including telecom, power, oil, railroads, and automobiles. Formerly known as Amara Raja Batteries Limited, the company’s AGM batteries mark a significant step in advancing innovative and environmentally friendly solutions.

Executive Director of Amara Raja Energy & Mobility Limited, Mr. Harshavardhana Gourineni, said, "We are thrilled to be a part of Hyundai Motor India Limited's journey of redefining future mobility. This is a significant step in AMARON's mission to deliver world-class energy solutions that meet the evolving demands of Original Equipment Manufacturers (OEMs). These batteries are designed to meet stringent Real Driving Emissions (RDE) norms like India's BS6 Phase 2 standards."

At 11.31 am on Friday, Amara Raja shares were trading at ₹1,228.95, up around 0.69%. The stock has delivered impressive gains of 50% since the start of 2024, reflecting strong investor confidence in its growth trajectory.
This partnership highlights Hyundai's commitment to innovation and sustainability while strengthening Amara Raja's role as a top battery supplier. By using locally made AGM technology, both companies aim to set new performance benchmarks in India's automotive industry.

In Conclusion

The partnership between Hyundai Motor India and Amara Raja Energy & Mobility is a win-win for both companies and their customers. It promises to deliver cutting-edge battery technology tailored to Indian conditions, while also supporting local manufacturing and environmental goals. As this initiative rolls out in late FY 2024-25, it sets the stage for further advancements in India’s automotive and energy sectors.