- A 100% subsidiary of Sterling Tools, the company is only making MCUs for EVs at the moment
- In the process, it invested Rs 28 crore last fiscal and will invest the same amount this fiscal
- It generated revenue of Rs 172 crore last year and hopes to close this fiscal at north of Rs 300 crore
Sterling GTake E-Mobility (Sterling Gtake), choose to enter the electric vehicle (EV) domain with motor controller units as the same allowed it to showcase its ability to offer value-added EV components to original equipment manufacturers (OEMs), Jaideep Wadhwa, MD at Sterling Gtake told Electronics For You during an interaction.
He said, “When we considered entering the EV components vertical, we wanted more than just suppliers. Our team found motor controller units (MCUs) as a component that do not just require engineering at the hardware level but also at the embedded software level.”
A 100% subsidiary of Sterling Tools, the company, since 2021, has manufactured over 300,000 MCUs and supplied the same to over 15 EV OEMs. Wadhwa added that their manufacturing facility can manufacture 600,000 MCUs per annum.
“Autonomous, connected, and future mobility are the core of what we are doing at Sterling GTake. We are trying not just to make components but are also working on ensuring they are embedded with smart features required by the vehicles of tomorrow,” Wadhwa said,
More Components On Map
The company’s research and development centre co-located in Delhi NCR and Bangalore, is now working on a new range of EV components, including motors, power electronics, DC-DC converters, and more, to broaden its horizon as a manufacturer and supplier.
In the process, it has earmarked a plan for investing Rs 28 crore this fiscal in the business. Notably, the company was also set up with a fund of Rs 28 crore and achieved a revenue of Rs 172 crore last fiscal year. Wadhwa is certain that Sterling GTake will close the current fiscal north of Rs 300 crore.
Also Read: Hira Group To Invest INR 150 Cr More In Godawari EVs
It is also worth mentioning here that its parent company Sterling Tools is one of the leading suppliers of fasteners to almost all automotive OEMs in India and had closed last fiscal at Rs 774.87 crore, compared to Rs 512.60 crore it had reported in FY22.
Wadhwa, “All of the OEMs that are clients of our parent company are a client of Sterling GTake too. It is a natural collaboration for us and them.”
One More Company
At present, its R&D teams are working closely on alternate fuels such as Hydrogen Fuel Cell, Hydrogen combustion engines, LNG, Ethanol, and more for being “future ready”. Wadhwa also shared a “possibility” of Sterling Tools setting up a new subsidiary to focus on automotive components required by the fuels of the future.
He explained, “There is not much difference between EVs and Hydrogen fuel cell vehicles. We will focus on electric mobility via Sterling Gtake, but a third company will cater components for many other fuels. That’s the plan, at least for now.”
This might mean that the company is or will be looking for collaborations, as it has done in the case of Sterling Gtake. Also, as it starts producing more EV components, it might require to broaden its supplier base, leading to opportunities in the hardware and software verticals.
Wadhwa concluded, “We are probably the only EV component company in the world who started setting up a factory without a single customer award. In two years, we have been able to do substantial business, and we are sure to do the same in future with more components.”
As per Precedence Research, the global electric vehicle parts and components market size was estimated at $164 billion in 2022 and is projected to hit around $1,242.85 billion by 2032 with a registered CAGR of 22.5% during the forecast period i.e. 2023 to 2032.
