Founder Raman Bhatia said that Servotech is eyeing a revenue of $50 million within the next two years due to this deal.
Servotech Power Systems Ltd announced its partnership with Dubai-based Al Ansari Motors to provide electric vehicles (EVs) charging solutions to the Middle Eastern and African markets.
The two companies have signed a sole distributorship agreement, wherein Al Ansari Motors will bring Servotech’s EV charging capabilities to the potential EV-adopting segment of these markets.
Founder and managing director of Servotech, Raman Bhatia, said that the company was eyeing a revenue of $50 million within the next two years with this agreement. Each charging point installed under the pact would be accessible to all electric four-wheelers, he said.
He added that there was a huge untapped market potential for electric vehicles in the Middle East and Africa. “A high density, well-amplified charging network for EVs will undoubtedly be realised in the future thanks to this partnership’s assistance in arranging and initiating the necessary steps,” he explained.
Research by Data Bridge reported that the Middle Eastern and Africa EV charging stations market is expected to reach $9391.51 million by 2029, registering a compound annual growth rate (CAGR) of 44.6% during the forecast period of 2022-2029.
Founder of Al Ansari Motors, Mohammad Humaid Alansari, said, “This pact gives us a chance to make Servotech’s extensive EV charging solutions more accessible and affordable in our native markets. This will result in both generating sustainable profits and evolving the future of electric vehicles.”
Last month, NSE-listed Servotech reported robust earnings for the quarter that ended December 31, 2022, with net profit rising by a staggering 260% to ₹3.87 crores, compared to ₹1.07 crores last year. Its revenue rose by 116% to whopping ₹82.5 crores compared to ₹38.23 crores last year.
Servotech Power Systems has a pan-India presence and it aims to develop tech-enabled EV Charging solutions. It offers AC and DC chargers, compatible with different EVs, for commercial and domestic applications. The company aims to strengthen EV charging infrastructure to accelerate the mass adoption of battery electric vehicles.